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European Journal of Marketing 35,3/4 248 European Journal of Marketing, Vol. 35 No. 3/4, 2001, pp. 248-291. # MCB University Press, 0309-0566 Corporate identity, corporate branding and corporate marketing Seeing through the fog John M.T. Balmer Bradford School of Management, The University of Bradford, UK Keywords Corporate identity, Corporate Communications, Brands, Corporate image Abstract Outlines 15 explanations for the fog which has enveloped the nascent domains of corporate identity and corporate marketing. However, the fog surrounding the area has a silver lining. This is because the fog has, unwittingly, led to the emergence of rich disciplinary, philosophical as well as ``national’’, schools of thought. In their composite, these approaches have the potential to form the foundations of a new approach to management which might be termed ``corporate marketing’’. In addition to articulating the author’s understanding of the attributes regarding a business identity (the umbrella label used to cover corporate identity, organisational identification and visual identity) the author outlines the characteristics of corporate marketing and introduces a new corporate marketing mix based on the mnemonic ``HEADS’’[2]. This relates to what an organisation has, expresses, the affinities of its employees, as well as what the organisation does and how it is seen by stakeholder groups and networks. In addition, the author describes the relationship between the corporate identity and corporate brand and notes the differences between product brands and corporate brands. Finally, the author argues that scholars need to be sensitive to the factors that are contributing to the fog surrounding corporate identity. Only then will business identity/corporate marketing studies grow in maturity. Introduction ``FOG IN CHANNEL ± EUROPE ISOLATED’’. So ran a famous headline appearing on the front page of The Thunderer[1] in the early 1900s. This headline has achieved some notoriety and is sometimes used as a metaphor for English insularity and isolationism. Using fog as a metaphor is apposite for ``business identity studies’’. The area may be broken down into three main strands ± corporate identity, organisational identity and visual identity. As this article will reveal, there are numerous factors which have contributed to the fog that is enveloping business identity studies. In the author’s opinion, the ``fog’’ has stunted the recognition of the strategic importance, as well as the multidisciplinary nature, of business identity. However, isolationism has a silver lining, in that it can result in scholars and practitioners achieving a high degree of creativity and innovation. This appears to have occurred in the broad area of business identity studies, where distinct schools of thought have emerged from national, and disciplinary, roots. However, what is becoming increasingly apparent is that the provenance to guide identity studies is not The research register for this journal is available at http://www.mcbup.com/research_registers The current issue and full text archive of this journal is available at http://www.emerald-library.com/ft The author is indebted to all those who have assisted in the preparation of this article, including the invaluable assistance given by the reviewers. This paper has been reviewed separately by the European Journal of Marketing review board.
44

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Page 1: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

EuropeanJournal ofMarketing3534

248

European Journal of MarketingVol 35 No 34 2001 pp 248-291 MCB University Press 0309-0566

Corporate identity corporatebranding and corporate

marketingSeeing through the fog

John MT BalmerBradford School of Management The University of Bradford UK

Keywords Corporate identity Corporate Communications Brands Corporate image

Abstract Outlines 15 explanations for the fog which has enveloped the nascent domains ofcorporate identity and corporate marketing However the fog surrounding the area has a silverlining This is because the fog has unwittingly led to the emergence of rich disciplinaryphilosophical as well as ` nationalrsquorsquo schools of thought In their composite these approaches havethe potential to form the foundations of a new approach to management which might be termed` corporate marketingrsquorsquo In addition to articulating the authorrsquos understanding of the attributesregarding a business identity (the umbrella label used to cover corporate identity organisationalidentification and visual identity) the author outlines the characteristics of corporate marketingand introduces a new corporate marketing mix based on the mnemonic ` HEADSrsquorsquo[2] Thisrelates to what an organisation has expresses the affinities of its employees as well as what theorganisation does and how it is seen by stakeholder groups and networks In addition the authordescribes the relationship between the corporate identity and corporate brand and notes thedifferences between product brands and corporate brands Finally the author argues thatscholars need to be sensitive to the factors that are contributing to the fog surrounding corporateidentity Only then will business identitycorporate marketing studies grow in maturity

Introduction` FOG IN CHANNEL plusmn EUROPE ISOLATEDrsquorsquo So ran a famous headlineappearing on the front page of The Thunderer[1] in the early 1900s Thisheadline has achieved some notoriety and is sometimes used as a metaphor forEnglish insularity and isolationism Using fog as a metaphor is apposite for` business identity studiesrsquorsquo The area may be broken down into three mainstrands plusmn corporate identity organisational identity and visual identity As thisarticle will reveal there are numerous factors which have contributed to the fogthat is enveloping business identity studies In the authorrsquos opinion the ` fogrsquorsquohas stunted the recognition of the strategic importance as well as themultidisciplinary nature of business identity However isolationism has asilver lining in that it can result in scholars and practitioners achieving a highdegree of creativity and innovation This appears to have occurred in the broadarea of business identity studies where distinct schools of thought haveemerged from national and disciplinary roots However what is becomingincreasingly apparent is that the provenance to guide identity studies is not

The research register for this journal is available at

httpwwwmcbupcom research_registers

The current issue and full text archive of this journal is available at

httpwwwemerald-librarycomft

The author is indebted to all those who have assisted in the preparation of this article includingthe invaluable assistance given by the reviewers This paper has been reviewed separately bythe European Journal of Marketing review board

Corporate identitybranding and

marketing

249

solely limited to marketing scholars The current cross-fertilisation takingplace among the various literatures on the broad area of identity studies has ledthe author to the conclusion that in time these distinct strands are likely tocoalesce and give rise to a new cognitive area of management called corporatemarketing

A growing number of scholars are beginning to appreciate themultidisciplinary foundations of business identity In the above context thevarious disciplinary national and cultural approaches when reviewed inisolation may appear to be little more than a modest tour drsquohorizon In theircomposite they represent a veritable firmament with the potential to form thekey building blocks of a new area of management However while the area islikely to be enthusiastically embraced by marketing scholars since it supports anumber of concepts that have a long lineage in the marketing discipline plusmnbranding communications image reputation and identity plusmn these conceptswhen applied to the corporate level are invariably more complicated than whensimply applied to products Furthermore such corporate concerns areinextricably linked to questions pertaining to corporate strategy and toorganisational behaviour and human resources As such marketing at thecorporate level requires a radical reappraisal in terms of its philosophycontent management and process

The article opens with a brief overview of the growing consensus gentiumamong many managementscholars with regard to the importance of theidentity concept This is followed by an examination of the 15 reasons for thecause of the fog In focusing on these reasons it is hoped that marketing andmanagement scholars will concentrate on the opportunities rather than thedifficulties associated with the identity concept What is clear is that theidentity concept is particularly salient for a host of management disciplines andprovides a new supplemental lens by which an organisationrsquos quintessentialattributes may be revealed nurtured managed influenced and altered

The growing importance of business identity studiesThe last decade has seen a burgeoning interest among the business andacademic communities in what the author calls for the sake of expediency` business identityrsquorsquo Business identity encompasses a triumvirate of relatedconcepts and literature which are

(1) corporate identity

(2) organisational identity and

(3) visual identity

It should be noted that business identity is viewed as encompassinginstitutions in the public not-for-profit and private sectors as well as supra andsub-organisational identities such as industries alliances trade associationsbusiness units and subsidiaries A sign of the heightened importance attachedto business identity can be seen in the number of management conferences and

EuropeanJournal ofMarketing3534

250

articles devoted to the area Of additional note are the special editions ofjournals devoted to the area including the European Journal of Marketing(1997) International Journal of Bank Marketing (1997) CorporateCommunications (1999) and The Academy of Management Review (2000)

The saliency of the identity concept to contemporary organisations and tomanagement academics from various disciplinary backgrounds has beenarticulated by Cheney and Christensen (1999) They observed that identity wasa pressing issue for many institutions and that the question of identity or ofwhat the organisation is or stands for cuts across and unifies many differentorganisational goals and concerns

This interest in identity has led to the emergence of courses on the areaCourses in strategic business identity management have been offered atStrathclyde Business School since 1991 where an International Centre forCorporate Identity Studies was also established A number of other leadingbusiness schools have also begun or are about to offer business identity studiesas part of their degree courses including Bradford School of Management(UK) Cranfield University (UK) Erasmus Graduate Business School (TheNetherlands) Harvard Business School (USA) HEC Paris (France) QueenslandUniversity of Technology (Australia) Loyola University Los Angeles (USA)and Waikato University (New Zealand) Not surprisingly the realisation of thesaliency of business identity is reflected in texts by academics who to varyingdegrees focus on business identity (Bromley 1993 Dowling 1993 Fombrun1996 Van Riel 1995) Articles are also to be found on the area in many businessand academic journals and in a growing number of business and marketinghandbooks and encyclopaedias (Balmer 1999a Cheney and Christensen 1999Tyrell 1995) Recently Whetten and Godfrey (1998) have edited a book whichdraws on several different academic traditions regarding identity However itadopts an overtly North American and behavioural stance on the area andmarshalls little of the marketing literature that has been extant since the 1950s

However the rapid ascendancy of business identity has had the ratherunfortunate effect of producing what the Scottish call a haar plusmn a thick sea fogAn examination of the literature on corporate identity and related areas has ledthe author to identify 15 contributory reasons for the fog This article seeksfirst to explain the factors causing the fog and second to begin the task ofrevealing the horizon of business identity studies which has thus far beendisguised

Business identity why the fogWhile this article will largely focus on the business identity concept it will alsomake reference to other related areas namely corporate reputation totalcorporate communications and corporate branding

The 15 contributory factors which have created fog vis-aAacute -vis businessidentity are illustrated in Table I

Corporate identitybranding and

marketing

251

First explanation for the fog the terminologyProviding an exegesis of the literature surrounding the family of conceptsrelated to business identity is a difficult task Existing literature reviews gosome way in giving clarity in this regard (Abratt 1989 Balmer 1998 Fombrunand van Riel 1997 Grunig 1993 Kennedy 1977)

What is clear is that the identity concept in its various facets is ubiquitousbut it can be used with reckless permissiveness among practitioner circles andto a lesser degree among scholars The practitioner literature is replete withexamples of where identity is initially defined in terms of the fundamentalattributes of an organisation but often undergoes a dramatic volte-face withidentity solutions being explained only in graphic-design terms The existenceof a trio of identity concepts is indicative of the perspicacity which needs to beaccorded by identity scholars The literature pertaining to the three identityconcepts is still evolving as is the relationship between the concepts A degreeof symbiosis is occurring and the author shares Whetten and Godfreyrsquos (1998)view of the efficacy of greater dialogue between management scholars fromdifferent disciplinary perspectives

The literature covering the business identity domain not only makesreference to the triumvirate of concepts underpinning business identity(corporate identity organisational identity and visual identity) but alsoembraces a wealth of other concepts comprising the corporate brand corporatecommunicationtotal corporate communications corporate image corporatepersonality and corporate reputation However as several writers haveremarked there is a lack of consensus as to the precise meaning of many of the

Table IThe 15 contributory

factors for the fogvis-aAacute -vis business

identity

1 The terminology2 The existence of different paradigmatic views vis-aAacute -vis business identityrsquos raison drsquoeAtildetre3 Multifarious disciplinary perspectives re business identity4 A failure to make a distinction between the elements comprising a business identity and

the elements to be considered in managing a business identity5 Disagreement with regard to the objectives of business identity management6 A traditional lack of dialogue between Anglophone and Non-Anglophone scholars and

writers7 The traditional lack of dialogue between researchers from different disciplines8 The association with graphic design9 The effect of fashion

10 The inappropriateness of the positivistic research paradigm in the initial stages oftheory generation vis-aAacute -vis business identity

11 The paucity of empirical academic research12 Undue focus being accorded to the business identities of holding companiesparent

organisation13 The emphasis assigned to Anglo-Saxon forms of business structures14 Weaknesses in traditional marketing models of corporate identitycorporate image

management and formation15 A failure to make a distinction between the actual communicated conceived ideal and

desired identities

EuropeanJournal ofMarketing3534

252

concepts articulated above and the relationships between them Abrattrsquos (1989p 66) insightful comment articulated below reflects the views of many scholarsincluding Balmer and Wilkinson (1991) Ind (1992) Olins (1978) and Van Rieland Balmer (1997)

Despite the voluminous literature the concepts remain unclear and ambiguous as nouniversally accepted definitions have emerged (Abratt 1989)

The following authors provide an overview of the following concepts corporateidentity (Balmer 1998) organisational identity (Whetten and Godfrey 1998)visual identity (Chajet and Schachtman 1998) corporate image (Grunig 1993)corporate personality (Olins 1978) corporate reputation (Fombrun and VanRiel 1997) corporate communications (Van Riel 1995) total corporatecommunications (Balmer and Gray 1999) and the corporate brand (Macra1999) The muddled use of the terminology has perhaps contributed more tothe fog surrounding the business identity domain than any other factor For thewould-be novice of business identity studies or indeed of corporate marketingthe concepts may at first sight appear to be impenetrable and theirrelationships Byzantine in complexity The author while recognising the abovedifficulties is of the view that the emergence of a family of related concepts isindicative of business identitycorporate marketingrsquos growing maturityAccording to Watershoot (1995 p 438) the making of listings and taxonomiesis one of the primary tasks in the development of a new body of thought TableII articulates the authorrsquos understanding of the principal concepts therelationships between them and their place in the current understanding ofbusiness identity including its nature management objectives and outcomesBuilding upon Table II Table III attempts to show the saliency of the identityand related concepts in addressing key organisational issues and questions

One problem associated with some of the concepts is the analogy that issometimes made between the human identity and personality and the corporateidentity and personality There are clear benefits but also dangers inassuming that corporate entities can be understood explained and altered byapplying the principles of social psychology (cf Bromley 1993) A couple ofobservations need to be made here First the use of metaphors pertaining to thehuman identity has been used by leading identity scholars such as Albert andWhetten (1985) and is particularly prevalent in their text Identity inOrganisations (Whetten and Godfrey 1998) Many of these anthropologicalmetaphors were introduced by practitioners for practical reasons Alan Siegalrsquosuse of the ` voicersquorsquo (corporate communication) metaphor and Olinsrsquos use of thepersonality metaphor are perhaps the most obvious examples For example inOlinsrsquos text (1978) the corporate personality and its link with the humanpersonality is more apparent than might be deduced from a reading of therecent literature Olins hypothesised that organisations in their formative yearsoften mirror the personality of the organisationrsquos founder and it is theorganisationrsquos founder or founders who Olins argues imbue the organisationwith its distinctiveness Once the founder has left there is a void (what the

Corporate identitybranding and

marketing

253

Table IIOverview of the main

concepts

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Cor

por

ate

bra

nd

Aak

er(1

996)

B

alm

er(1

995

1999

)In

d(1

996)

D

eC

her

nat

ony

(199

9)G

regor

y(1

997)

K

apfe

rer

(199

2)K

ing

(199

1)

Mac

rae

(199

9)M

aath

ius

(199

9)IC

IGSta

tem

ent

(See

Appen

dix

1)

(a)

The

acquis

itio

nof

afa

vou

rable

corp

orat

ebra

nd

isan

espou

sed

obje

ctiv

eof

busi

nes

sid

enti

tym

anag

emen

tA

corp

orat

ebra

nd

pro

pos

itio

nsh

ould

be

der

ived

from

the

organ

isat

ionrsquos

iden

tity

(b

)T

he

corp

orat

ebra

nd

mix

consi

sts

ofcu

ltura

lin

tric

ate

tangib

lean

det

her

eal

elem

ents

`C2IT

Ersquorsquo

(Bal

mer

20

00)

Inth

isar

ticl

eco

mm

itm

ent

has

bee

nad

ded

asa

fift

hel

emen

tT

his

isbec

ause

aco

rpor

ate

bra

nd

requir

esco

mm

itm

ent

from

all

staf

fas

wel

las

com

mit

men

tfr

omse

nio

rm

anag

emen

tan

din

finan

cial

suppor

tT

he

corp

orat

ebra

nd

conce

pt

isre

late

dto

the

conce

pts

ofco

rpor

ate

reputa

tion

and

corp

orat

eim

age

whic

har

eal

soto

som

edeg

ree

conce

rned

wit

hper

cepti

on

Vid

ein

fraU

nlike

pro

duct

bra

nds

the

focu

sof

corp

orat

ebra

nds

ison

(i)

all

inte

rnal

and

exte

rnal

stak

ehol

der

san

dnet

wor

ks

(ii)

bas

edon

abro

ader

mix

than

the

trad

itio

nal

mar

ket

ing

mix

and

(iii)

isex

per

ience

dan

dco

mm

unic

ated

thro

ugh

tota

lco

rpor

ate

com

munic

atio

nra

ther

than

sim

ply

via

the

mar

ket

ing

com

munic

atio

ns

mix

V

ide

infr

a

Cor

por

ate

com

munic

atio

nan

dto

tal

corp

orat

eco

mm

unic

atio

ns

Aber

g(1

990)

B

alm

eran

dG

ray

(199

9)

Ber

nst

ein

(198

4)In

d(1

996)

IC

IGSta

tem

ent

(see

Appen

dix

1)

(a)

The

chan

nel

sby

whic

ha

busi

nes

sid

enti

tyis

mad

eknow

nto

inte

rnal

and

exte

rnal

stak

ehol

der

san

dnet

wor

ks

and

whic

htr

ansl

ates

over

tim

ein

toth

eac

quis

itio

nof

aco

rpor

ate

reputa

tion

cor

por

ate

bra

nd

reputa

tion

(b

)V

anR

ielrsquos

infl

uen

tial

corp

orat

eco

mm

unic

atio

nm

ixen

com

pas

ses

(i)

man

agem

ent

(ii)

organ

isat

ional

and

(iii)

mar

ket

ing

com

munic

atio

ns

Aber

gan

dB

ernst

ein

bro

aden

edth

e`c

orpor

ate

com

munic

atio

ns

mix

rsquorsquoan

din

cluded

elem

ents

such

asco

mpan

ypro

duct

san

dbeh

avio

ur

Bal

mer

expan

ded

Van

Rie

lrsquosco

nce

pt

toen

com

pas

sth

ose

com

munic

atio

nel

emen

tsw

hic

hca

nnot

be

contr

olle

den

titl

ing

this

`tot

alco

rpor

ate

com

munic

atio

nsrsquo

rsquoB

alm

eran

dG

ray

concl

uded

that

tota

lco

rpor

ate

com

munic

atio

ns

consi

sted

ofth

ree

elem

ents

(i)

pri

mar

yco

mm

unic

atio

n(t

he

com

munic

atio

nef

fect

sof

pro

duct

san

dof

corp

orat

ebeh

avio

ur)

(ii)

seco

ndar

yco

mm

unic

atio

n(in

esse

nce

Van

Rie

lrsquosm

ix)

(iii)

tert

iary

com

munic

atio

n(w

ord-o

f-m

outh

and

mes

sages

impar

ted

abou

tth

eor

gan

isat

ion

from

thir

dpar

ties

)(c

onti

nued

)

EuropeanJournal ofMarketing3534

254

Table II

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Cor

por

ate

iden

tity

Abra

tt(1

989)

B

alm

er(1

998)

B

alm

eran

dW

ilso

n(1

998)

B

irkig

tan

dSta

dle

r(1

986)

O

lins

(199

5)Sch

mid

t(1

995)

Ste

idl

and

Em

ory

(199

7)

Stu

art

(199

8a19

98b

1999

a)T

agiu

ri(1

982)

T

yre

ll(1

995)

V

anR

ekom

(199

7)

Van

Rie

l(1

995)

V

anR

iel

and

Bal

mer

(199

7)W

iedm

ann

(198

8)

ICIG

Sta

tem

ent

(See

Appen

dix

1)

(a)

The

mix

ofel

emen

tsw

hic

hgiv

esor

gan

isat

ions

thei

rdis

tinct

iven

ess

the

foundat

ion

ofbusi

nes

sid

enti

ties

(b

)A

lthou

gh

ther

eis

still

ala

ckof

conse

nsu

sas

toth

ech

arac

teri

stic

sof

aco

rpor

ate

iden

tity

au

thor

sdo

for

the

mai

nem

phas

ise

the

impor

tance

ofse

ver

alel

emen

tsin

cludin

gcu

lture

(wit

hst

aff

seen

tohav

ean

affi

nit

yto

mult

iple

form

sof

iden

tity

)st

rate

gy

stru

cture

his

tory

busi

nes

sac

tivit

ies

and

mar

ket

scop

eT

he

abov

eper

spec

tive

ofth

eco

rpor

ate

iden

tity

conce

pt

isbec

omin

gm

ore

com

mon

wit

hin

mai

nla

nd

Euro

pe

the

UK

and

the

Bri

tish

Com

mon

wea

lth

espec

ially

thos

efr

oma

mar

ket

ingc

omm

unic

atio

ns

bac

kgro

und

(Oft

en

corp

orat

eid

enti

tyis

erro

neo

usl

yuse

dw

hen

refe

rrin

gto

vis

ual

iden

tity

V

ide

Infr

a)

Org

anis

atio

nal

iden

tity

Alb

ert

and

Whet

ten

(198

5)

Ash

fort

han

dM

ael

(198

9)

Dutt

onet

al

(199

4)H

atch

and

Sch

ult

z(1

997)

W

het

ten

and

God

frey

(199

8)

(a)

Akey

elem

ent

giv

ing

busi

nes

sid

enti

tyit

sdis

tinct

iven

ess

(vid

esu

pra

plusmnco

rpor

ate

iden

tity

and

vide

infr

aplusmn

corp

orat

eper

sonal

ity)

(b)

Ref

ers

tow

hat

emplo

yee

sfe

elan

dth

ink

abou

tth

eir

organ

isat

ionF

ocuse

son

ques

tion

sre

lati

ng

toor

gan

isat

ional

cult

ure

A

lber

tan

dW

het

tenrsquos

infl

uen

tial

def

init

ion

ofor

gan

isat

ional

iden

tity

refe

rsto

thos

ech

arac

teri

stic

sof

anor

gan

isat

ion

whic

har

ece

ntr

alen

duri

ng

and

dis

tinct

ive

How

ever

th

ere

ishea

ted

deb

ate

amon

gst

organ

isat

ional

beh

avio

uri

sts

regar

din

gA

lber

tan

dW

het

tenrsquos

cate

gor

isat

ion

ofor

gan

isat

ional

iden

tity

R

elat

ionsh

ipw

ith

corp

orat

eid

enti

tyis

beg

innin

gto

be

explo

red

but

the

mar

ket

ing

per

spec

tive

espec

ially

from

the

Com

mon

wea

lth

and

Euro

pe

has

mad

elitt

lein

the

way

ofin

road

sw

ith

Nor

ther

nA

mer

ican

schol

ars

Appea

rsto

hav

em

any

sim

ilar

char

acte

rist

ics

wit

hth

eco

nce

pt

ofco

rpor

ate

per

sonal

ity

and

wit

hco

rpor

ate

cult

ure

(cf

Fio

let

al

(199

9)vi

de

infr

a

Itsh

ould

be

bor

ne

inm

ind

that

cult

ure

isso

met

imes

vie

wed

asa

var

iable

inco

rpor

ate

iden

tity

form

atio

n

(con

tinued

)

Corporate identitybranding and

marketing

255

Table II

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Vis

ual

iden

tity

Bal

mer

(199

5)B

aker

and

Bal

mer

(199

7)

Chaj

etet

al

(199

3)

Dow

ling

(199

4)

Hen

rion

and

Par

kin

(196

7)M

elew

aran

dSau

nder

s(1

998

1999

)N

apol

es(1

988)

O

lins

(197

819

79)

Pildit

ch(1

971)

Je

nkin

s(1

991)

Sel

ame

and

Sel

ame

(197

5)

Sim

pso

n(1

979)

Ste

war

t(1

991)

(a)

One

mea

ns

by

whic

ha

busi

nes

sid

enti

tym

aybe

know

nor

in

dee

d

dis

guis

ed

An

audit

ofan

organ

isat

ionrsquos

sym

bol

ism

can

also

hel

pin

giv

ing

insi

ghts

into

anor

gan

isat

ionrsquos

corp

orat

eid

enti

tyo

rgan

isat

ional

iden

tity

T

he

mos

tpro

min

ent

aspec

tof

abusi

nes

sid

enti

tych

ange

pro

gra

mm

eT

he

only

par

tof

abusi

nes

sid

enti

tyw

hic

hca

nbe

effe

ctiv

ely

contr

olle

dby

senio

rm

anag

emen

t(b

)B

alm

errsquos

anal

ysi

sof

the

lite

ratu

rere

vea

led

that

auth

ors

ascr

ibe

four

funct

ions

tovis

ual

iden

tity

inth

atit

is(i)

use

dto

signal

chan

ge

inco

rpor

ate

stra

tegy(ii)

cult

ure

an

d(iii)

com

munic

atio

nSom

etim

esch

anges

are

under

taken

inor

der

toac

com

mod

ate

(iv)

chan

ges

infa

shio

nw

ith

regar

dto

gra

phic

des

ignO

linsrsquo

use

ful

cate

gor

isat

ion

ofvis

ual

iden

tity

into

mon

olit

hic

en

dor

sed

and

bra

nded

cate

gor

ies

has

bee

nw

idel

yad

opte

din

the

lite

ratu

reev

enth

oughas

Olins

adm

its

itra

rely

refl

ects

organ

isat

ional

real

ity

Cor

por

ate

imag

eA

bra

tt(1

989)

B

ernst

ein

(198

4)

Bro

wn

(199

8)

Bri

stol

(196

0)B

oors

ein

(196

1)

Bou

ldin

g(1

956)

B

udd

(196

9)C

raven

(198

6)

Dow

ling

(198

6)G

ray

(198

6)

Gra

yan

dSm

elze

r(1

985)

G

ray

and

Bal

mer

(199

8)G

runig

(199

3)K

enned

y(1

997)

L

indquis

t(1

974)

M

arti

nea

u(1

958)

Spec

tor

(196

1)V

anH

eerd

enan

dP

uth

(199

5)

Van

Rie

l(1

995)

W

orce

ster

(198

619

97)

(a)

One

ofth

ees

pou

sed

obje

ctiv

esof

effe

ctiv

ely

(or

non

-eff

ecti

vel

y)

man

agin

ga

busi

nes

sid

enti

tyie

th

ecr

eati

onof

apos

itiv

e(o

rneg

ativ

e)im

age

(b)

Ther

ear

eth

ree

bro

ad

dis

ciplinar

yap

pro

aches

toco

rpor

ate

imag

edra

wn

from

psy

chol

ogygra

phic

des

ign

and

from

public

rela

tion

sse

eB

row

n(1

998)

and

Bal

mer

(199

8)T

he

conce

pt

isim

por

tant

but

ispro

ble

mat

icdue

toth

em

ult

iplici

tyof

inte

rpre

tati

ons

and

neg

ativ

eas

soci

atio

ns

Ques

tion

sre

lati

ng

toit

s`m

anag

emen

trsquorsquoar

ein

her

entl

ypro

ble

mat

icC

once

pt

has

larg

ely

bee

nec

lipse

dby

that

ofth

eco

rpor

ate

reputa

tion

bot

hin

the

lite

ratu

rean

din

man

agem

ent

par

lance

V

ide

infr

a

(conti

nued

)

EuropeanJournal ofMarketing3534

256

Table II

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Cor

por

ate

per

sonal

ity

Abra

tt(1

989)

B

alm

eran

dW

ilso

n(1

998)

B

irkig

tan

dSta

dle

r(1

986)

L

ux

(198

6)

Olins

(197

8)V

anR

iel

and

Bal

mer

(199

7)

(a)

Akey

elem

ent

whic

hgiv

esa

busi

nes

sid

enti

tyit

sdis

tinct

iven

ess

and

rela

tes

toth

eat

titu

des

and

bel

iefs

ofth

ose

wit

hin

the

organ

isat

ion

Ther

efor

eth

ere

appea

rsto

be

apri

me

faci

eca

sefo

rlinkin

gth

eco

nce

pt

toor

gan

isat

ional

iden

tity

and

toth

eco

nce

pt

ofco

rpor

ate

cult

ure

V

ide

supra

(b

)O

lins

pos

tula

ted

that

anor

gan

isat

ionrsquos

cult

ure

invar

iably

dev

elop

sar

ound

the

organ

isat

ionrsquos

founder

and

afte

rth

efo

under

rsquosdep

artu

rere

quir

esm

anag

emen

tat

tenti

onin

order

tofi

llw

hat

the

auth

orca

lls

`the

per

sonal

ity

def

icit

rsquorsquoA

uth

ors

who

refe

rto

the

conce

pt

inth

eir

wri

ting

orm

odel

spla

ceth

eco

nce

pt

per

sonal

ity

atth

ece

ntr

eof

busi

nes

sid

enti

ty

The

BB

Cst

udy

under

taken

by

Bal

mer

lead

sto

the

concl

usi

onth

atth

eco

rpor

ate

per

sonal

ity

refe

rsto

the

mix

ofco

rpor

ate

pro

fess

ional

re

gio

nal

and

other

sub-c

ult

ure

sin

organ

isat

ions

and

that

this

`cult

ura

lm

ixrsquorsquo

isa

key

elem

ent

ingiv

ing

dis

tinct

iven

ess

tobusi

nes

sid

enti

ties

C

lear

links

wit

hth

e`d

iffe

renti

atio

npar

adig

mof

cult

ura

lst

udie

srsquorsquo

Org

anis

atio

nal

iden

tifi

cati

onis

per

hap

sa

pre

fera

ble

conce

pt

inlight

ofth

edif

ficu

ltie

sas

soci

ated

wit

hth

enot

ion

that

organ

isat

ions

hav

ea

per

sonal

ity

inth

esa

me

way

that

hum

ans

do

This

conce

pt

has

also

suff

ered

asa

conse

quen

ceof

the

vag

arie

sof

fash

ion

Cor

por

ate

reputa

tion

Bro

mle

y(1

993)

C

aruan

aan

dC

hir

cop

(200

0)

Fom

bru

n(1

996)

F

ombru

nan

dV

anR

iel

(199

7)G

ray

and

Bal

mer

(199

8)

Gre

yse

r(1

999)

Sob

olan

dF

arre

ll(1

988)

W

eigel

tan

dC

amer

er(1

988)

(a)

One

obje

ctiv

eof

effe

ctiv

ebusi

nes

sid

enti

tym

anag

emen

tis

the

acquis

itio

nof

afa

vou

rable

reputa

tion

amon

gkey

stak

ehol

der

gro

ups

This

isbel

ieved

togiv

eth

eor

gan

isat

ion

aco

mpet

itiv

ead

van

tage

(b)

Fom

bru

nan

dV

anR

iel

pro

vid

esi

xca

tegor

isat

ions

ofco

rpor

ate

reputa

tion

sre

flec

ting

the

six

dis

tinct

lite

ratu

res

onth

ear

eaw

hic

hvar

iousl

yfo

cus

onit

sfi

nan

cial

wor

th

its

trai

tsan

do

rsi

gnal

sit

sfo

rmat

ion

reputa

tion

alex

pec

tati

ons

and

nor

ms

and

onre

puta

tion

alas

sets

and

mob

ilit

ybar

rier

s

Corporate identitybranding and

marketing

257

Table IIIThe saliency of

identity and relatedconcepts in addressing

major organisationalconcerns

Concept Addresses key question Commentsexplanations

Corporate identity What are we Also involves addressing a series ofquestions including What is ourbusinessstructurestrategyethosmarketperformancehistory andreputationrelationships to otheridentities

Organisationalidentity (corporatepersonality)a

Who are we The mix of dominantascendantsubcultures withintranscending theorganisation Employeesrsquo relationshipswith myriad organisational identities(holding company subsidiaryiesdepartments original current andemergent identities) Professionalcultural industrial sexual identitiesetc

Visual identity (visualidentificationsystem)

What are theorganizationrsquos symbolsand system ofidentification

Do the organisationrsquos visual (and verbal)cues communicate whatwho we areWhatwho we were Whatwho wewish to be A mix of the above Isthere clarity or confusion Does itreflect or possibly inform currentstrategy

Corporatecommunication

Is there integratedcommunication

In relation to management organisationaland marketing communications Arethey integrated in terms ofmanagement philosophy and process

Total corporatecommunications

Is there congruency revertical and horizontalcommunication

Vertical between corporatecommunication corporate actionsperformance and behaviours andbetween third partiesHorizontal asabove but also congruency over time

Corporate image What is the currentperception andorprofile

In relation to the immediate mentalperception of the organisation held byan individual group or network

Corporate reputation What distinctiveattributes (if any) areassigned to theorganisation

The enduring perception held of anorganisation by an individual group ornetwork

Corporate brand What is the promiseinferred fromcommunicated by thebrand

Are these inferences accurate reflected inreality (the promiseperformance gap)shown in management commitment andunderpinnedmade explicit by effectivecommunications Vida supra

Note aThe traditional andor preferred marketing description

EuropeanJournal ofMarketing3534

258

author of this article calls ` the personality deficitrsquorsquo) Over time it is the mix ofsubcultures (corporate professional national etc) present within theorganisation that fills this void and gives it a collective personality albeit apersonality of many different elements (cf Balmer and Wilson 1998)

As Gioia (1998) noted

Like individuals organisations can be viewed as subsuming a multiplicity of identities eachof which is appropriate for a given context or audience Actually at the organisation level thenotion of the multiple identities is perhaps the key (if subtle) point of difference betweenindividuals and organisations

He continued

Thus organisations can plausibly present a complicated multifaceted identity eachcomponent of which is relevant to specific domains or constituents without appearinghopelessly fragmented or ludicrously schizophrenic as an individual might

The notion of multiple identities will be further explored in the 15th reason forthe fog

Second reason for the fog the existence of different paradigmatic viewsvis-aAacute-vis business identityrsquos raison drsquoeAtildetreThere are three distinct perspectives on how the business identity conceptshould be defined and explored The three perspectives are functionalistinterpretative and post-modern Gioia (1998) expounded the nature of thedebate taking place in each of these philosophical schools with regard toorganisational identity Here the modus vivendi is to uncover why and howemployees think and act in relation to their employerorganisation Theseparadigms also inform thought within other fields of business identity and ofcourse management studies generally

The functionalist lens regards business identity as a social fact Consequentlya business identity can be observed moulded and managed The key researchissues centre on uncovering describing and measuring a business identityObservation and psychometric instruments are the preferred research tools

The second paradigm embracing the interpretative perspective has as itsmain focus the understanding of how employees construct meaningsregarding who they are within an organisational environment Businessidentity is viewed as a socially constructed phenomenon with employeesseeking to give some level of meaning to their work existence The researchfocus is to uncover the meanings employees attach to their organisation Thestudy of organisational symbols underlines the methodical approach of thisparadigm

The final component of the troika of perspectives the post-modernparadigm seeks to disclose power-relationships regarding business identityThe emphasis focuses on complexity rather than on simplicity Businessidentity is regarded as a collection of transcendatory perspectives about howorganisational members view themselves Provocation and reflexivity

Corporate identitybranding and

marketing

259

characterise the research process The main research tools are language anddiscourse While such schools may appear to be irreconcilable as Gioia (1998)observes they do give richness to the general understanding of the businessidentity concept as do other perspectives in this nascent area This is a keyleitmotif of this article and the author argues should characterise emerginguacuteuvre pertaining to business identity studies

Third reason for the fog multifarious disciplinary perspectives re business identityThe literatures pertaining to business identity and particularly to corporateidentity organisational identity and visual identification reveal a plethora ofperspectives with regard to first the scope of the various identity conceptsregarding various management disciplines and second the shiftingperspectives relating to the relationships between the three identity conceptsFigure 1 shows the various relationships that have been postulated in theliterature This illustrates the huge disparity between the nature and roAtildele ofidentity studies On closer examination it becomes apparent that some of thenarrower perspectives relate to what is more appropriately called visualidentity The final interdisciplinary approach represents the authorrsquos view thatbusiness identity studies will form the keystone of corporate marketingTaking up the metaphor of the silver lining outlined in the opening paragraphof this article it becomes apparent that while there has been a traditional lackof agreement on the nature and roAtildeles of identity Figure 1 does show that the(business) identity is an omnipresent concept across a whole spectrum ofmanagement and marketing areas

Fourth explanation for the fog a failure to make a distinction between theelements comprising a business identity and the elements to be considered inmanaging a business identityIt should be borne in mind that business identity in its various facets may beseen as concept philosophy and as a process Concept and philosophy will bediscussed in this section and the process will be examined under the fifthexplanation

The literature reveals a lack of consensus as to the elements which constitutea business identity (the business identity mix) as well as a failure to distinguishbetween the elements of the corporate identity management mix

The approach taken by Balmer and Soenen (1999) appears to be the first tomake a clear distinction between first the elements comprising a businessidentity and second the elements required of its management This businessidentity mix embraces a triumvirate of elements termed

(1) the soul (the subjective elements of business identity including thevalues held by personnel which find expression in the plethora ofsub-cultures and the mix of identity types present within organisations)

(2) the mind (the conscious decisions made by the organisation vis-aAacute -vis theespoused organisational ethos vision strategy and productperformance) and

EuropeanJournal ofMarketing3534

260

(3) the voice (this encompasses the multi-faceted way in whichorganisations communicate internally and externally to stakeholdergroups and networks and which is normally called ` total corporatecommunicationsrsquorsquo viz Balmer and Gray (1999)

Figure 1The evolvingrelationships betweencorporate identity andother conceptsdisciplines

Corporate identitybranding and

marketing

261

An additional trio of elements melding with the above form what Balmer andSoenen call the business identity management mix

The additional elements of Balmer and Soenenrsquos identity management mixare environmental forces (the need to take cognisance of this) stakeholders (theneed to be aware of stakeholders) and reputations (encompassing thereputation of the holding company its subsidiaries and business units thecountry-of-origin and the organisationrsquos partners such as alliance partners)

Mention may be made of those other authors who have attempted toarticulate the elements of a business identity These include Birkigt and Stadler(1986) the Mitsubishi Model of Japan (nd) and those by Schmidt (1995) andSteidl and Emory (1997)

Birkigt and Stadlerrsquos (1986) identity mix which is assigned a good deal ofimportance in Van Rielrsquos text (1995) and in a good deal of the subsequentliterature consists of a quartet of elements

(1) personality

(2) behaviour

(3) communication and

(4) symbolism

It would appear that this mix articulates the elements by which a businessidentity is known The mix emphasises the communications effect(s) of anorganisationrsquos behaviour communication policies and visual symbolism Themix is useful in revealing some of the major channels by which a businessidentity may be known and represents a distinct shift away from acategorisation of corporate identity in purely visual terms However incomparison to other more recent approaches it is somewhat narrow in scope

The primary objective of the Mitsubishi mix (nd) is to reveal those elementsthat constitute a business identity As with Balmer and Soenenrsquos (1999) mixthis approach draws on a trio of elements It is clear that a certain lineage maybe inferred between the English and Japanese approaches The Mitsubishi mixis segmented into what is called the mind identity (what the organisation isstriving to achieve) the strategic identity (the type of strategy which will causethe mind identity to become a reality) and the behaviour identity (the range andtypes of behaviour undertaken by the organisation)

Schmidtrsquos (1995) mix originating from the London-based Anglo-Germanconsultancy Henrion Ludlow and Schmidt comprises a quintet of elements

(1) corporate culture

(2) corporate behaviour

(3) market condition and strategies

(4) product and services and

(5) communication and design

EuropeanJournal ofMarketing3534

262

this clearly suggests it is a mix focusing on the management of businessidentity As such the mix takes cognisance of how an identity is revealed(through communications and design) but also assigns importance to marketconditions

Steidl and Emory (1997) have produced what is clearly a business identityrather than a business identity management mix As with Balmer and Soenen itwould appear that these two writers have been in part influenced by SinoNippon approaches to business identity and this is reflected in their choice ofterminology This Australian model is built around another trio of elementsthe mind (the philosophy and strategy through which the organisation securesthe support of customers) the spirit (the values of the organisation and theresponse this evokes amongst key stakeholder groups) and the body (the totalphysical infrastructure which is required to operate the business) Of note hereis the emphasis accorded to ` the bodyrsquorsquo which is not encompassed by the othermodels Rather surprisingly ` the bodyrsquorsquo does not encompass organisationalstructure Thus the author is of the view that a broader interpretationencompassing company structure would appear to be appropriate Theimportance of structure is similarly noted by Balmer and Gray (1999) Ind(1996) Morison (1997) and Stuart (1998a 1999b) The authorrsquos new identitymixes taking cognisance of the above comprises four elements and this isillustrated in Figure 2

Unlike the approaches used by Balmer and Soenen Schmidt and Steidl andEmory it has been decided to break with (at least from a British NorthAmerican and Commonwealth perspective) the practitioner legacy which usesthe human metaphor The four elements comprising this new mix are strategystructure communication and culture

The need to make a distinction between the variables comprising a businessidentity and the task elements to be considered with regard to the managementof a business identity mix is deserving of more attention by both scholars andpractitioners than has been the case to date

The implications of the authorrsquos new mix and those of many of other mixesis that researching a business identity involves using Gioiarsquos (1998 p 26)classification plusmn marrying the interpretive lens (with regard to understandingpersonnelrsquos various affinities to different identities) with the functionalist lens(with regard to the above parts of the mix) Consequently what is required is afurther breaking down of boundaries between research paradigms Thisprocess has implications not only for identity scholarship but also for identityconsultancy and management

Fifth explanation for the fog disagreement with regard to the objectives ofbusiness identity managementThe literature reveals a wide variety of purposes and objectives associated withbusiness identity management Balmerrsquos (1995) initial literature review

Corporate identitybranding and

marketing

263

revealed that corporate identity change programmes were variously used as avehicle to assist in

strategy formulation

culture-change

effective corporate communication

articulating a corporate strategy

articulatingchanging the organisationrsquos culture

acting as a platform for corporate communications and

ensuring that the organisationrsquos visual identity is fashionable

This is indicative of the multidisciplinary nature of the domain with the type ofidentity change reflecting the aspects of the organisationrsquos identity that requireattention

Significantly the effective management of a business identity has beenregarded as imbuing an organisation with a favourable image (cf Abratt 1989

Figure 2Balmerrsquos new identity

mix and identitymanagement mix

EuropeanJournal ofMarketing3534

264

Balmer 1995 Birkigt and Stadler 1986 Dowling 1994 Steidl and Emory 1997Tyrrell 1995 Van Rekom 1997) and more recently the acquisition of afavourable corporate reputation coupled with business survival andprofitability (Balmer and Stotvig 1997 Van Riel and Balmer 1997 Gray andBalmer 1998) The objective of acquiring a favourable corporate image hasfallen out of favour since the concept of the corporate image is fraught withdifficulty (Balmer 1998) The acquisition of a corporate brand on the otherhand has been identified as an objective of corporate identity management(Balmer 1999a) The ICIG statement reproduced in Appendix 1 cites a numberof possible objectives in relation to corporate identity management namely

fostering a sense of individuality

achieving differentiation in a competitive environment

providing disciplinary integration

providing a platform for coherent corporate communication

nurturing an image that is consistent with the organisationrsquos definingethos and character

nurturing understanding and commitment among stakeholders

attracting and retaining customers and employees

achieving strategic alliances and

gaining support of financial markets

Sixth explanation of the fog a traditional lack of dialogue between Anglophoneand non-Anglophone scholars and writersIn addition to the lack of dialogue between scholars from different disciplines anotable feature of the literature on business identity is how linguistic andcultural barriers have exerted an influence in the general understanding of thearea The most dramatic divide is between Anglophone and non-Anglophonenations For instance the literature on business identity emerging frommainland Europe appears to have developed quite independently from theNorth American literature and also from that of the UK and the old (British)Commonwealth and vice versa An example of this is the French school ofthought on corporate identity (Moingeon and Ramanantsoa 1997) TheNetherlands appears to be the exception to the rule owing to the linguisticdexterity of the peoples of that kingdom This can be seen in Van Rielrsquos (1995)influential text Principles of Corporate Communication which contains averitable cornucopia of international sources

Further afield questions of language have hindered our understanding ofSino and Japanese approaches to the area The current understanding ofbusiness identity in `Westernrsquorsquo nations might need to undertake a furtherradical reappraisal in order to accommodate what appear to be substantivedifferences of approach between ` Westernrsquorsquo and ` Asianrsquorsquo scholars of businessidentity Reference has already been made to the Mitsubishi mix According to

Corporate identitybranding and

marketing

265

Steidl and Emory (1997 pp 4-5) the Japanese approach to business identityadopts a radically different manner from that found in other nations They referto Motoo Nakanishi the chairman of one of Japanrsquos foremost businessconsultancies who states that Japanese business identity change programmesare characterised by their longevity in planning and implementation and thatthey are also dependent upon the CEO championing such a change In contrastNakanishi comments that US identity change programmes reflect the characterof the CEO to a greater extent than Asian approaches are similar to Japaneseprogrammes in their reliance on the CEO for their success are more project-orientated and are short-term in scope For their part Johansson and Hirano(1999) point out that in Asia there is a higher degree of parallelism betweenindividual and corporate objectives than in the West cf Balmer and Wilson(1998)

Seventh explanation for the fog the traditional lack of dialogue betweenresearchers from different disciplinesThe business identity literatures encompass distinctive and not so distinctiveschools of thought business communications and corporate communications(Cheney and Christensen 1999 Van Riel 1995) graphic design (Olins 1995Schmidt 1995) image and image-research (Brown 1998 Barich and Kotler1991 Worcester 19861997) marketing (Abratt 1989) organisationalbehaviour (Albert and Whetten 1985 Mael and Ashforth 1992) publicrelations (Grunig 1993) psychology (Bromley 1993) reputation (Fombrun1996) and strategy (Gray and Smeltzer 1985 Marwick and Fill 1997 Morison1997) A multi-disciplinary approach is adopted by Balmer (1995 1998) with astrong marketingcommunications emphasis

Despite the wealth of disciplines the degree of cross fertilisation of ideas andinsights from these literatures is comparatively slight It would appear thatbusiness identity issues have to a large degree matured along narrow verticaland disciplinary paradigms There has been little in the way of multi-disciplinary holistic development This may be placed in the context of thevarious business identity mixes articulated by Balmer and Soenen (1997)Birkigt and Stadler (1986) Schmidt (1995) and Steidl and Emory (1997) thatclearly demand that a broad multi-disciplinary approach be adopted

Mention may also be made of Whetten and Godfreyrsquos (1998) book Identity inOrganisations where academics from a number of disciplines discuss variousfacets of the business identity world However there is a paucity of materialemanating from British Commonwealth and European sources in this text andfor the main little from the marketing literature is marshalled This may becontrasted with the recent marketing literature where organisationalbehaviourists for instance have made a significant contribution

Eighth explanation for the fog the association with graphic designThe importance accorded to graphic design in the business identity literaturehas exacerbated the confusion surrounding the area and may in retrospect be

EuropeanJournal ofMarketing3534

266

seen to have exerted a deleterious influence regarding the conceptualisation ofidentity In the past this has led to the business identity domain being narrowlyconceived Some writers with backgrounds in marketing and communicationhave accorded symbolism the same importance as other business identityelements such as behaviour and communication viz Birkigt and Stadler (1986)The emphasis accorded to graphic design in business identity studies has beenperpetuated by many so-called corporate identity consultancies who are to allintents and purposes graphic design consultancies Research undertaken byMORI revealed that significant numbers of managers in UK and Europe stillequate UK-based corporate identity with graphic design (cf Schmidt 1995)Such has been the influence of graphic design that it has almost becomeaxiomatic that any change of business identity will have an attendant changeof visual identity The author has not to date discovered a case where acorporate identity consultancy advising a client during a business identitychange programme has not as a minimum tweaked the corporate logo This isa curious state of affairs and again raises some profound questions Wolff Olins(Europersquos largest corporate identity consultancy) in their ` Guide to corporateidentityrsquorsquo produced for the UK weekly magazine Marketing (1990 pp 19-24)made this very point

Because of corporate identityrsquos roots in design it will probably entail a new or revised logodesign

With the passing of ten years little appears to have altered For instance themajority of personnel employed by corporate identity consultancies tend tohave a background in graphic design The author is of the view that thegraphic design emphasis ascribed to business identity has thrown the area outof kilter This has had the unfortunate effect of stifling a broader moresophisticated and scholarly appreciation of business identity The distinctcorporate identity and organisational identity literatures although somewhatparvenu in relation to the visual identity literature have without doubt made aprofound contribution to the general understanding of business identity overrecent years What is required is for a more balanced appraisal to take place vis-aAacute -vis the power of visual identity and of graphic design in what is starting to beknown as the corporate identity mixbusiness identity mix What is not refutedby the author is that visual identification does unquestionably have powerVan Riel (1995) pointed out the wide impact of visual communication when hewrote that the average lorry is capable of delivering 7-9 million visualimpressions per year or about 60 per kilometre Empirical work undertaken byMelewar and Saunders (1998) revealed the benefit of standardised globalcorporate visual identity systems Furthermore the use of what is known as` the visual auditrsquorsquo (an examination of the organisationrsquos symbolism and brandstructure) has been shown to be a most effective initial means ofcomprehending an organisationrsquos cultures power-base strategies andcommunication As such the visual audit may provide useful insights into anorganisationrsquos identity

Corporate identitybranding and

marketing

267

However whereas a visual audit may reveal symptoms of inherent corporatemalaise many organisations fall into the trap of resorting to the initiation of anew visual identity as a means of correcting what can be profoundorganisational difficulties This may suggest a degree of naivety on the part ofsome senior managers and consultancies in failing to differentiate between thecauses and the symptoms (visual-identity) of a weak inconsistent negative orunwanted business identity As a result of this approach a number of authorstend to define corporate identity in prosaic terms namely ` what anorganisation isrsquorsquo While inadequate as a definition it does help to distance thearea from the narrow graphic design perspective

The emphasis on the visual has had another unfortunate effect in cloudingover the importance of the other senses of sound scent taste and touch Itwould be perverse to suggest that visually impaired customers employees orinvestors are unable to recognise differentiate between or form opinions oforganisations Upon reflection it becomes apparent that the non-visual sensescan be just as powerful in communicating the identity of a collective group Forexample the aural sense has a dominant role in the recognition of the identitiesof radio stations The aural sense also helps to differentiate one nation statefrom another via the use of languages and national anthems Important lessonscan in this regard be learned from ancient institutions such as the CatholicChurch which marshals all the senses to forge an impressive panoply ofsignals to support the Catholic Churchrsquos tenets and beliefs Although theCatholic Church has in recent years offered a somewhat flaccid version of itsidentity it is still possible to experience the effect of marshalling of all thesenses in an experience which is unique to the Catholic faith Thus at atraditional solemn celebration of the liturgy at Londonrsquos Brompton Oratorythe churchrsquos distinctiveness is communicated through among otherssymbolism (vestments church furnishings architecture posture of clergy andlaity) sound (Latin Gregorian chant and polyphony) smell (incense) touch(holy water) and taste (taking the sacrament)

Ninth explanation for the fog the effect of fashionVagaries in fashion in the use of concepts have played their part in thickeningthe fog surrounding the area A would-be scholar of business identity studieshas to show a good deal of perspicacity not only in accommodating the richvariety of concepts in use but also in exerting acute vigilance in theirassessment of what he or she understands by the concept The effects offashion can clearly be seen in the 1950s and 1960s when much attention wasfocused on the concept of the ` corporate imagersquorsquo Yet in the 1970s ` corporateidentityrsquorsquo grew in popularity and to some degree was used in preference to` corporate imagersquorsquo The corporate identityconcept was not only used as asurrogate for ` image managementrsquorsquo but has been viewed by some authors suchas Dowling (1994) as being fundamentally concerned with visual identityOthers saw the concept as embracing the distinct characteristics of anorganisation (Van Riel and Balmer 1997) In recent years reference to the

EuropeanJournal ofMarketing3534

268

` corporate brandrsquorsquo or what is sometimes termed ` service brandingrsquorsquo (cf Balmer1995 De Chernatony 1999) has replaced reference to ` corporate identityrsquorsquo Ofparticular note is corporate reputation which as a concept has been in theascendant over recent years and has almost eclipsed references to the corporateimage in the literature and in management parlance What is apparent is thattoo many practitioners and some scholars have tended to regard the emergenceof a new concept as a replacement to what has gone before rather thanconsidering each new concept for its potential in building on what preceded itand furthering therefore the general understanding of the creationmanagement and saliency of business identity

Tenth explanation for the fog the inappropriateness of the positivistic researchparadigm in the initial stage of theory generation vis-aAacute-vis identityUndue attention has been given to measuring the outcomes and benefits ofeffective business identity management Providing a firm foundation regardingthe nature andor driving forces of business identity will do much to lift the fogsurrounding the area In this regard the research paradigm of naturalism isperhaps more appropriate than positivism in explaining a phenomenon such ascorporate identity which has not previously been subjected to a great deal ofempirical research viz Van Mannen (1985) Case studies can also be usefulwith regard to theory building research in the field of corporate identity Oliver(1997) argued the importance of case study research albeit in relation tocorporate communication and stated that formal theories do develop from casestudies Oliver is supported in her view by others including Gill and Johnson(1991) and Yin (1984)

While some caution needs to be applied to the maxim found in VirgilrsquosAeneid ` ab uno disce omnesrsquorsquo (from one learn all) it would perhaps be equallyperverse to suggest the opposite that nothing is gained from the findings ofcase studies This is after all the modus operandi underpinning HarvardBusiness Schoolrsquos pedagogical approach

Deshpande (1983) notes that quantitative methods are more suitable fortheory testing than theory generation Vankatesh (1985 p 62) commented thatthe emphasis on empirical research data analysis and quantitative modellingoffers little potential for theory generation As such the author argues thatmarketing scholars should give a greater emphasis to qualitative and casestudy research

Eleventh explanation for the fog the paucity of empirical academic researchThree reasons are postulated by the writer as to why there has been a lack ofpublished empirical research

(1) Until recently the traditional lack of interest from all but a fewmanagement academics

(2) The difficulty in getting published in mainstream management journals

(3) The difficulty in undertaking research into corporate identity

Corporate identitybranding and

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269

Invariably business identity issues encompass issues that are of particularsensitivity and have fundamental importance to organisations and their seniormanagement Therefore researchers are likely to experience acute difficulty inresearching changes of business identity which probe into the quintessence ofan organisationrsquos existence and which can propel to the fore issues of greatsensitivity and political importance In addition new scholars are likely to havethe wherewithall to extrapolate data and disseminate their findings throughlearned journals

Although this traditionally has been the case it is difficult to say whetherthis is a cause or effect vis-aAacute -vis points (1) to (3) Perhaps all elements have madea contribution What is encouraging is that more scholars are embarking onresearch into this business identity and this is represented in the burgeoningnumber of candidates embarking upon doctoral research in corporate identitySignificant empirical research to date includes that by Balmer and Wilson(1998) relating to the BBC and a major UK high street bank Dutton andDukerichrsquos (1991) research on the New York port authority Elsbach andKramerrsquos (1996) research in US universities Gioia and Thomasrsquos (1996)investigation relating to universities and Van Rekomrsquos (1997) study focusing ona sector of the Dutch tourism industry

Twelfth explanation for the fog undue focus being accorded to the businessidentities of holding companiesparent organisationsThe literature reveals a bias towards the identities of holding or parentcompanies with insufficient attention being given to the identities ofsubsidiaries as well as to industrial identities alliances licensing arrangementsand to federal types of organisational structures An exception to the latter wasBalmerrsquos (1996) research which focused on BBC Scotland plusmn a subsidiary of theBBC The emphasis accorded to the identities of parent organisations hasperhaps resulted in a far too simplistic categorisation regarding therelationship between subsidiaries business units and the holding companyThis can be seen in Olinsrsquos (1978) highly influential tripartite categorisation ofbusiness identities which he calls monolithic endorsed and brandedAlthough this is a useful basic classification it disguises the fact that parent-subsidiary relationships are invariably more complicated as evinced byKammerer (1989) Furthermore insufficient attention is given to the industry-wide generic identities with the exception of Balmer and Wilkinson (1991) andWilkinson and Balmer (1996)

Upon reflection there are other identity types such as the identity ofalliances including the ` Starrsquorsquo ` One Worldrsquorsquo and ` Wingsrsquorsquo airline alliances theidentity of consortiums such as the European Airbus and the sharing of abrand name by several important companies Examples include the Hiltonbrand name which is shared by Hilton Hotel of the USA and Ladbrokes of theUK the Rolls-Royce brand licensed to car manufacturers VWBMW(Germany) by the UK aero-engines group Rolls-Royce the multiplicity ofidentities subsumed beneath the umbrella of the Virgin brand and the Co-op

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270

brand in the UK which serves as an umbrella brand for its labyrinthicorganisational structure The simplistic approach to organisational structureand strategy outlined above and the graphic design bias has in the authorrsquosopinion served to obfuscate business identityrsquos palpable affinity with corporatestrategy

Thirteenth explanation for the fog the emphasis assigned to Anglo-Saxonforms of business structuresFor the main the various literatures of business identity focus on Anglo-Saxonforms of business identity which is characterised by short termism and whereshareholders are accorded particular importance Little has appeared inEuropean journals with regard to non Anglo-Saxon forms of businessidentities As such it would appear that undue emphasis is accorded to verticalrather than to horizontal organisational structures

There is prima facie case to suggest that existing Anglo-Saxon theories ofbusiness identity are inappropriate to certain organisational structuresoperating in other countries due to cultural and economic reasons This canperhaps be most clearly seen in Japan and Korea The traditional Japanesekeiretsu structure which encompasses well known brand names such asMitsubishi Mitsui and Sumitomo differ from their Anglo-Saxon counterpartsin that they invariably include financial services companies that can providefinance to other members of the keiretsu Typically each keiretsu structurecontains

a commercial bank a trust bank and a life insurance company

each group contains a trading company which supports other membersof the group through the provision of such things as intelligence andproject management

there is cross-shareholdings of such groups which makes it difficult fora member of the group to be threatened with an aggressive take-over

in times of crisis members of the kieretsu group will provide supportfinancial or service to the beleaguered company and finally

there is a leading group of companies

The Korean chaebol structure is similar to the Japanese keiretsu structure withthe exception that first members of the founding family still in some instancesmanage the company and second the chaebol does not contain powerfulfinancial institutions or trading companies

What is clear from the above illustration is that Eastern businessrelationships are more complicated than those witnessed in many Anglo-Saxoncompanies that the visualbranding structure is invariably applied to a familyof more or less autonomous companies rather than to a single commercialconcern that the notion of internal communications takes on a particularlyimportant role vis-aAacute -vis communication between members of the kieretsuchaebol and that the external communication is more complicated This is

Corporate identitybranding and

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271

because each company of the group not only needs to support its own corporatecommunication efforts and reputation but also that of the group Here thegrouprsquos reputation will appear to act as a powerful control mechanismBalmerrsquos (1998) DEAR Model (Decisions are Evaluated Against theorganisationrsquosgrouprsquos Reputation) may be of use in this regard

It is important to recall that there are other forms of organisational structureoperating in the West other than Anglo-Saxon structures One approachprevalent in southern Europe and termed ` the Latin approachrsquorsquo is according toCova and Aubert-Gamet (1997) based on the view that marketing institutionsare less effective than proximate communities influencing peoplesrsquo behaviourCova coined the term ` societingrsquorsquo to encapsulate this approach A case in pointis the Rhine model of organisations which for obvious reasons is prevalent inthose nations bordering the Rhine Here there are flatter more community-focused structures

In Germany businesses are not dominated by big brand names In a 1989survey for Business Week Germany accounted for only 3 per cent of the worldrsquos1000 largest companies Germanyrsquos strength (and also that of Northern Italy)rests in its Mittelstand These are small to medium-sized family businesses InGermany the characteristics of such companies are

family owned

financiers or investors are not owners or controllers of the companies

the objective is long term survival and

stakeholdersrsquo groupings cannot so easily be broken down into internaland external stakeholders

Interestingly concern is shown to stakeholders of the future Table IV providesa summation of the Anglo-Saxon and the Rhine and Asian approaches

Fourteenth explanation of the fog weaknesses in early traditional marketingmodels of corporate identitycorporate image management and formationThe fourteenth weakness identified by the writer is the weaknesses in many ofthe more influential conceptual models of corporate imageidentityreputationformation (Abratt 1989 Dowling 1986 1993 and Kennedy 1977) It wouldappear that in some of these models the writers confuse corporate identity withcorporate image While the writer is critical of some of the models each of themmakes a valuable contribution to the debate on the area Certainly several ofthese models were at the cutting edge of the debate on the area at the time theywere published These four models will be examined in turn

Abrattrsquos model (1989)Abrattrsquos conceptual and prescriptive model has the objective of explaining thecorporate image management process and adopts an ` outside inrsquorsquo focus (animage reputation focus) rather than an inside out (an identity personalityfocus) Abrattrsquos model is most useful in that it attempts to integrate the

EuropeanJournal ofMarketing3534

272

problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

marketing

273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

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274

challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

marketing

275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

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276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

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286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

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marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

EuropeanJournal ofMarketing3534

288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 2: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

Corporate identitybranding and

marketing

249

solely limited to marketing scholars The current cross-fertilisation takingplace among the various literatures on the broad area of identity studies has ledthe author to the conclusion that in time these distinct strands are likely tocoalesce and give rise to a new cognitive area of management called corporatemarketing

A growing number of scholars are beginning to appreciate themultidisciplinary foundations of business identity In the above context thevarious disciplinary national and cultural approaches when reviewed inisolation may appear to be little more than a modest tour drsquohorizon In theircomposite they represent a veritable firmament with the potential to form thekey building blocks of a new area of management However while the area islikely to be enthusiastically embraced by marketing scholars since it supports anumber of concepts that have a long lineage in the marketing discipline plusmnbranding communications image reputation and identity plusmn these conceptswhen applied to the corporate level are invariably more complicated than whensimply applied to products Furthermore such corporate concerns areinextricably linked to questions pertaining to corporate strategy and toorganisational behaviour and human resources As such marketing at thecorporate level requires a radical reappraisal in terms of its philosophycontent management and process

The article opens with a brief overview of the growing consensus gentiumamong many managementscholars with regard to the importance of theidentity concept This is followed by an examination of the 15 reasons for thecause of the fog In focusing on these reasons it is hoped that marketing andmanagement scholars will concentrate on the opportunities rather than thedifficulties associated with the identity concept What is clear is that theidentity concept is particularly salient for a host of management disciplines andprovides a new supplemental lens by which an organisationrsquos quintessentialattributes may be revealed nurtured managed influenced and altered

The growing importance of business identity studiesThe last decade has seen a burgeoning interest among the business andacademic communities in what the author calls for the sake of expediency` business identityrsquorsquo Business identity encompasses a triumvirate of relatedconcepts and literature which are

(1) corporate identity

(2) organisational identity and

(3) visual identity

It should be noted that business identity is viewed as encompassinginstitutions in the public not-for-profit and private sectors as well as supra andsub-organisational identities such as industries alliances trade associationsbusiness units and subsidiaries A sign of the heightened importance attachedto business identity can be seen in the number of management conferences and

EuropeanJournal ofMarketing3534

250

articles devoted to the area Of additional note are the special editions ofjournals devoted to the area including the European Journal of Marketing(1997) International Journal of Bank Marketing (1997) CorporateCommunications (1999) and The Academy of Management Review (2000)

The saliency of the identity concept to contemporary organisations and tomanagement academics from various disciplinary backgrounds has beenarticulated by Cheney and Christensen (1999) They observed that identity wasa pressing issue for many institutions and that the question of identity or ofwhat the organisation is or stands for cuts across and unifies many differentorganisational goals and concerns

This interest in identity has led to the emergence of courses on the areaCourses in strategic business identity management have been offered atStrathclyde Business School since 1991 where an International Centre forCorporate Identity Studies was also established A number of other leadingbusiness schools have also begun or are about to offer business identity studiesas part of their degree courses including Bradford School of Management(UK) Cranfield University (UK) Erasmus Graduate Business School (TheNetherlands) Harvard Business School (USA) HEC Paris (France) QueenslandUniversity of Technology (Australia) Loyola University Los Angeles (USA)and Waikato University (New Zealand) Not surprisingly the realisation of thesaliency of business identity is reflected in texts by academics who to varyingdegrees focus on business identity (Bromley 1993 Dowling 1993 Fombrun1996 Van Riel 1995) Articles are also to be found on the area in many businessand academic journals and in a growing number of business and marketinghandbooks and encyclopaedias (Balmer 1999a Cheney and Christensen 1999Tyrell 1995) Recently Whetten and Godfrey (1998) have edited a book whichdraws on several different academic traditions regarding identity However itadopts an overtly North American and behavioural stance on the area andmarshalls little of the marketing literature that has been extant since the 1950s

However the rapid ascendancy of business identity has had the ratherunfortunate effect of producing what the Scottish call a haar plusmn a thick sea fogAn examination of the literature on corporate identity and related areas has ledthe author to identify 15 contributory reasons for the fog This article seeksfirst to explain the factors causing the fog and second to begin the task ofrevealing the horizon of business identity studies which has thus far beendisguised

Business identity why the fogWhile this article will largely focus on the business identity concept it will alsomake reference to other related areas namely corporate reputation totalcorporate communications and corporate branding

The 15 contributory factors which have created fog vis-aAacute -vis businessidentity are illustrated in Table I

Corporate identitybranding and

marketing

251

First explanation for the fog the terminologyProviding an exegesis of the literature surrounding the family of conceptsrelated to business identity is a difficult task Existing literature reviews gosome way in giving clarity in this regard (Abratt 1989 Balmer 1998 Fombrunand van Riel 1997 Grunig 1993 Kennedy 1977)

What is clear is that the identity concept in its various facets is ubiquitousbut it can be used with reckless permissiveness among practitioner circles andto a lesser degree among scholars The practitioner literature is replete withexamples of where identity is initially defined in terms of the fundamentalattributes of an organisation but often undergoes a dramatic volte-face withidentity solutions being explained only in graphic-design terms The existenceof a trio of identity concepts is indicative of the perspicacity which needs to beaccorded by identity scholars The literature pertaining to the three identityconcepts is still evolving as is the relationship between the concepts A degreeof symbiosis is occurring and the author shares Whetten and Godfreyrsquos (1998)view of the efficacy of greater dialogue between management scholars fromdifferent disciplinary perspectives

The literature covering the business identity domain not only makesreference to the triumvirate of concepts underpinning business identity(corporate identity organisational identity and visual identity) but alsoembraces a wealth of other concepts comprising the corporate brand corporatecommunicationtotal corporate communications corporate image corporatepersonality and corporate reputation However as several writers haveremarked there is a lack of consensus as to the precise meaning of many of the

Table IThe 15 contributory

factors for the fogvis-aAacute -vis business

identity

1 The terminology2 The existence of different paradigmatic views vis-aAacute -vis business identityrsquos raison drsquoeAtildetre3 Multifarious disciplinary perspectives re business identity4 A failure to make a distinction between the elements comprising a business identity and

the elements to be considered in managing a business identity5 Disagreement with regard to the objectives of business identity management6 A traditional lack of dialogue between Anglophone and Non-Anglophone scholars and

writers7 The traditional lack of dialogue between researchers from different disciplines8 The association with graphic design9 The effect of fashion

10 The inappropriateness of the positivistic research paradigm in the initial stages oftheory generation vis-aAacute -vis business identity

11 The paucity of empirical academic research12 Undue focus being accorded to the business identities of holding companiesparent

organisation13 The emphasis assigned to Anglo-Saxon forms of business structures14 Weaknesses in traditional marketing models of corporate identitycorporate image

management and formation15 A failure to make a distinction between the actual communicated conceived ideal and

desired identities

EuropeanJournal ofMarketing3534

252

concepts articulated above and the relationships between them Abrattrsquos (1989p 66) insightful comment articulated below reflects the views of many scholarsincluding Balmer and Wilkinson (1991) Ind (1992) Olins (1978) and Van Rieland Balmer (1997)

Despite the voluminous literature the concepts remain unclear and ambiguous as nouniversally accepted definitions have emerged (Abratt 1989)

The following authors provide an overview of the following concepts corporateidentity (Balmer 1998) organisational identity (Whetten and Godfrey 1998)visual identity (Chajet and Schachtman 1998) corporate image (Grunig 1993)corporate personality (Olins 1978) corporate reputation (Fombrun and VanRiel 1997) corporate communications (Van Riel 1995) total corporatecommunications (Balmer and Gray 1999) and the corporate brand (Macra1999) The muddled use of the terminology has perhaps contributed more tothe fog surrounding the business identity domain than any other factor For thewould-be novice of business identity studies or indeed of corporate marketingthe concepts may at first sight appear to be impenetrable and theirrelationships Byzantine in complexity The author while recognising the abovedifficulties is of the view that the emergence of a family of related concepts isindicative of business identitycorporate marketingrsquos growing maturityAccording to Watershoot (1995 p 438) the making of listings and taxonomiesis one of the primary tasks in the development of a new body of thought TableII articulates the authorrsquos understanding of the principal concepts therelationships between them and their place in the current understanding ofbusiness identity including its nature management objectives and outcomesBuilding upon Table II Table III attempts to show the saliency of the identityand related concepts in addressing key organisational issues and questions

One problem associated with some of the concepts is the analogy that issometimes made between the human identity and personality and the corporateidentity and personality There are clear benefits but also dangers inassuming that corporate entities can be understood explained and altered byapplying the principles of social psychology (cf Bromley 1993) A couple ofobservations need to be made here First the use of metaphors pertaining to thehuman identity has been used by leading identity scholars such as Albert andWhetten (1985) and is particularly prevalent in their text Identity inOrganisations (Whetten and Godfrey 1998) Many of these anthropologicalmetaphors were introduced by practitioners for practical reasons Alan Siegalrsquosuse of the ` voicersquorsquo (corporate communication) metaphor and Olinsrsquos use of thepersonality metaphor are perhaps the most obvious examples For example inOlinsrsquos text (1978) the corporate personality and its link with the humanpersonality is more apparent than might be deduced from a reading of therecent literature Olins hypothesised that organisations in their formative yearsoften mirror the personality of the organisationrsquos founder and it is theorganisationrsquos founder or founders who Olins argues imbue the organisationwith its distinctiveness Once the founder has left there is a void (what the

Corporate identitybranding and

marketing

253

Table IIOverview of the main

concepts

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Cor

por

ate

bra

nd

Aak

er(1

996)

B

alm

er(1

995

1999

)In

d(1

996)

D

eC

her

nat

ony

(199

9)G

regor

y(1

997)

K

apfe

rer

(199

2)K

ing

(199

1)

Mac

rae

(199

9)M

aath

ius

(199

9)IC

IGSta

tem

ent

(See

Appen

dix

1)

(a)

The

acquis

itio

nof

afa

vou

rable

corp

orat

ebra

nd

isan

espou

sed

obje

ctiv

eof

busi

nes

sid

enti

tym

anag

emen

tA

corp

orat

ebra

nd

pro

pos

itio

nsh

ould

be

der

ived

from

the

organ

isat

ionrsquos

iden

tity

(b

)T

he

corp

orat

ebra

nd

mix

consi

sts

ofcu

ltura

lin

tric

ate

tangib

lean

det

her

eal

elem

ents

`C2IT

Ersquorsquo

(Bal

mer

20

00)

Inth

isar

ticl

eco

mm

itm

ent

has

bee

nad

ded

asa

fift

hel

emen

tT

his

isbec

ause

aco

rpor

ate

bra

nd

requir

esco

mm

itm

ent

from

all

staf

fas

wel

las

com

mit

men

tfr

omse

nio

rm

anag

emen

tan

din

finan

cial

suppor

tT

he

corp

orat

ebra

nd

conce

pt

isre

late

dto

the

conce

pts

ofco

rpor

ate

reputa

tion

and

corp

orat

eim

age

whic

har

eal

soto

som

edeg

ree

conce

rned

wit

hper

cepti

on

Vid

ein

fraU

nlike

pro

duct

bra

nds

the

focu

sof

corp

orat

ebra

nds

ison

(i)

all

inte

rnal

and

exte

rnal

stak

ehol

der

san

dnet

wor

ks

(ii)

bas

edon

abro

ader

mix

than

the

trad

itio

nal

mar

ket

ing

mix

and

(iii)

isex

per

ience

dan

dco

mm

unic

ated

thro

ugh

tota

lco

rpor

ate

com

munic

atio

nra

ther

than

sim

ply

via

the

mar

ket

ing

com

munic

atio

ns

mix

V

ide

infr

a

Cor

por

ate

com

munic

atio

nan

dto

tal

corp

orat

eco

mm

unic

atio

ns

Aber

g(1

990)

B

alm

eran

dG

ray

(199

9)

Ber

nst

ein

(198

4)In

d(1

996)

IC

IGSta

tem

ent

(see

Appen

dix

1)

(a)

The

chan

nel

sby

whic

ha

busi

nes

sid

enti

tyis

mad

eknow

nto

inte

rnal

and

exte

rnal

stak

ehol

der

san

dnet

wor

ks

and

whic

htr

ansl

ates

over

tim

ein

toth

eac

quis

itio

nof

aco

rpor

ate

reputa

tion

cor

por

ate

bra

nd

reputa

tion

(b

)V

anR

ielrsquos

infl

uen

tial

corp

orat

eco

mm

unic

atio

nm

ixen

com

pas

ses

(i)

man

agem

ent

(ii)

organ

isat

ional

and

(iii)

mar

ket

ing

com

munic

atio

ns

Aber

gan

dB

ernst

ein

bro

aden

edth

e`c

orpor

ate

com

munic

atio

ns

mix

rsquorsquoan

din

cluded

elem

ents

such

asco

mpan

ypro

duct

san

dbeh

avio

ur

Bal

mer

expan

ded

Van

Rie

lrsquosco

nce

pt

toen

com

pas

sth

ose

com

munic

atio

nel

emen

tsw

hic

hca

nnot

be

contr

olle

den

titl

ing

this

`tot

alco

rpor

ate

com

munic

atio

nsrsquo

rsquoB

alm

eran

dG

ray

concl

uded

that

tota

lco

rpor

ate

com

munic

atio

ns

consi

sted

ofth

ree

elem

ents

(i)

pri

mar

yco

mm

unic

atio

n(t

he

com

munic

atio

nef

fect

sof

pro

duct

san

dof

corp

orat

ebeh

avio

ur)

(ii)

seco

ndar

yco

mm

unic

atio

n(in

esse

nce

Van

Rie

lrsquosm

ix)

(iii)

tert

iary

com

munic

atio

n(w

ord-o

f-m

outh

and

mes

sages

impar

ted

abou

tth

eor

gan

isat

ion

from

thir

dpar

ties

)(c

onti

nued

)

EuropeanJournal ofMarketing3534

254

Table II

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Cor

por

ate

iden

tity

Abra

tt(1

989)

B

alm

er(1

998)

B

alm

eran

dW

ilso

n(1

998)

B

irkig

tan

dSta

dle

r(1

986)

O

lins

(199

5)Sch

mid

t(1

995)

Ste

idl

and

Em

ory

(199

7)

Stu

art

(199

8a19

98b

1999

a)T

agiu

ri(1

982)

T

yre

ll(1

995)

V

anR

ekom

(199

7)

Van

Rie

l(1

995)

V

anR

iel

and

Bal

mer

(199

7)W

iedm

ann

(198

8)

ICIG

Sta

tem

ent

(See

Appen

dix

1)

(a)

The

mix

ofel

emen

tsw

hic

hgiv

esor

gan

isat

ions

thei

rdis

tinct

iven

ess

the

foundat

ion

ofbusi

nes

sid

enti

ties

(b

)A

lthou

gh

ther

eis

still

ala

ckof

conse

nsu

sas

toth

ech

arac

teri

stic

sof

aco

rpor

ate

iden

tity

au

thor

sdo

for

the

mai

nem

phas

ise

the

impor

tance

ofse

ver

alel

emen

tsin

cludin

gcu

lture

(wit

hst

aff

seen

tohav

ean

affi

nit

yto

mult

iple

form

sof

iden

tity

)st

rate

gy

stru

cture

his

tory

busi

nes

sac

tivit

ies

and

mar

ket

scop

eT

he

abov

eper

spec

tive

ofth

eco

rpor

ate

iden

tity

conce

pt

isbec

omin

gm

ore

com

mon

wit

hin

mai

nla

nd

Euro

pe

the

UK

and

the

Bri

tish

Com

mon

wea

lth

espec

ially

thos

efr

oma

mar

ket

ingc

omm

unic

atio

ns

bac

kgro

und

(Oft

en

corp

orat

eid

enti

tyis

erro

neo

usl

yuse

dw

hen

refe

rrin

gto

vis

ual

iden

tity

V

ide

Infr

a)

Org

anis

atio

nal

iden

tity

Alb

ert

and

Whet

ten

(198

5)

Ash

fort

han

dM

ael

(198

9)

Dutt

onet

al

(199

4)H

atch

and

Sch

ult

z(1

997)

W

het

ten

and

God

frey

(199

8)

(a)

Akey

elem

ent

giv

ing

busi

nes

sid

enti

tyit

sdis

tinct

iven

ess

(vid

esu

pra

plusmnco

rpor

ate

iden

tity

and

vide

infr

aplusmn

corp

orat

eper

sonal

ity)

(b)

Ref

ers

tow

hat

emplo

yee

sfe

elan

dth

ink

abou

tth

eir

organ

isat

ionF

ocuse

son

ques

tion

sre

lati

ng

toor

gan

isat

ional

cult

ure

A

lber

tan

dW

het

tenrsquos

infl

uen

tial

def

init

ion

ofor

gan

isat

ional

iden

tity

refe

rsto

thos

ech

arac

teri

stic

sof

anor

gan

isat

ion

whic

har

ece

ntr

alen

duri

ng

and

dis

tinct

ive

How

ever

th

ere

ishea

ted

deb

ate

amon

gst

organ

isat

ional

beh

avio

uri

sts

regar

din

gA

lber

tan

dW

het

tenrsquos

cate

gor

isat

ion

ofor

gan

isat

ional

iden

tity

R

elat

ionsh

ipw

ith

corp

orat

eid

enti

tyis

beg

innin

gto

be

explo

red

but

the

mar

ket

ing

per

spec

tive

espec

ially

from

the

Com

mon

wea

lth

and

Euro

pe

has

mad

elitt

lein

the

way

ofin

road

sw

ith

Nor

ther

nA

mer

ican

schol

ars

Appea

rsto

hav

em

any

sim

ilar

char

acte

rist

ics

wit

hth

eco

nce

pt

ofco

rpor

ate

per

sonal

ity

and

wit

hco

rpor

ate

cult

ure

(cf

Fio

let

al

(199

9)vi

de

infr

a

Itsh

ould

be

bor

ne

inm

ind

that

cult

ure

isso

met

imes

vie

wed

asa

var

iable

inco

rpor

ate

iden

tity

form

atio

n

(con

tinued

)

Corporate identitybranding and

marketing

255

Table II

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Vis

ual

iden

tity

Bal

mer

(199

5)B

aker

and

Bal

mer

(199

7)

Chaj

etet

al

(199

3)

Dow

ling

(199

4)

Hen

rion

and

Par

kin

(196

7)M

elew

aran

dSau

nder

s(1

998

1999

)N

apol

es(1

988)

O

lins

(197

819

79)

Pildit

ch(1

971)

Je

nkin

s(1

991)

Sel

ame

and

Sel

ame

(197

5)

Sim

pso

n(1

979)

Ste

war

t(1

991)

(a)

One

mea

ns

by

whic

ha

busi

nes

sid

enti

tym

aybe

know

nor

in

dee

d

dis

guis

ed

An

audit

ofan

organ

isat

ionrsquos

sym

bol

ism

can

also

hel

pin

giv

ing

insi

ghts

into

anor

gan

isat

ionrsquos

corp

orat

eid

enti

tyo

rgan

isat

ional

iden

tity

T

he

mos

tpro

min

ent

aspec

tof

abusi

nes

sid

enti

tych

ange

pro

gra

mm

eT

he

only

par

tof

abusi

nes

sid

enti

tyw

hic

hca

nbe

effe

ctiv

ely

contr

olle

dby

senio

rm

anag

emen

t(b

)B

alm

errsquos

anal

ysi

sof

the

lite

ratu

rere

vea

led

that

auth

ors

ascr

ibe

four

funct

ions

tovis

ual

iden

tity

inth

atit

is(i)

use

dto

signal

chan

ge

inco

rpor

ate

stra

tegy(ii)

cult

ure

an

d(iii)

com

munic

atio

nSom

etim

esch

anges

are

under

taken

inor

der

toac

com

mod

ate

(iv)

chan

ges

infa

shio

nw

ith

regar

dto

gra

phic

des

ignO

linsrsquo

use

ful

cate

gor

isat

ion

ofvis

ual

iden

tity

into

mon

olit

hic

en

dor

sed

and

bra

nded

cate

gor

ies

has

bee

nw

idel

yad

opte

din

the

lite

ratu

reev

enth

oughas

Olins

adm

its

itra

rely

refl

ects

organ

isat

ional

real

ity

Cor

por

ate

imag

eA

bra

tt(1

989)

B

ernst

ein

(198

4)

Bro

wn

(199

8)

Bri

stol

(196

0)B

oors

ein

(196

1)

Bou

ldin

g(1

956)

B

udd

(196

9)C

raven

(198

6)

Dow

ling

(198

6)G

ray

(198

6)

Gra

yan

dSm

elze

r(1

985)

G

ray

and

Bal

mer

(199

8)G

runig

(199

3)K

enned

y(1

997)

L

indquis

t(1

974)

M

arti

nea

u(1

958)

Spec

tor

(196

1)V

anH

eerd

enan

dP

uth

(199

5)

Van

Rie

l(1

995)

W

orce

ster

(198

619

97)

(a)

One

ofth

ees

pou

sed

obje

ctiv

esof

effe

ctiv

ely

(or

non

-eff

ecti

vel

y)

man

agin

ga

busi

nes

sid

enti

tyie

th

ecr

eati

onof

apos

itiv

e(o

rneg

ativ

e)im

age

(b)

Ther

ear

eth

ree

bro

ad

dis

ciplinar

yap

pro

aches

toco

rpor

ate

imag

edra

wn

from

psy

chol

ogygra

phic

des

ign

and

from

public

rela

tion

sse

eB

row

n(1

998)

and

Bal

mer

(199

8)T

he

conce

pt

isim

por

tant

but

ispro

ble

mat

icdue

toth

em

ult

iplici

tyof

inte

rpre

tati

ons

and

neg

ativ

eas

soci

atio

ns

Ques

tion

sre

lati

ng

toit

s`m

anag

emen

trsquorsquoar

ein

her

entl

ypro

ble

mat

icC

once

pt

has

larg

ely

bee

nec

lipse

dby

that

ofth

eco

rpor

ate

reputa

tion

bot

hin

the

lite

ratu

rean

din

man

agem

ent

par

lance

V

ide

infr

a

(conti

nued

)

EuropeanJournal ofMarketing3534

256

Table II

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Cor

por

ate

per

sonal

ity

Abra

tt(1

989)

B

alm

eran

dW

ilso

n(1

998)

B

irkig

tan

dSta

dle

r(1

986)

L

ux

(198

6)

Olins

(197

8)V

anR

iel

and

Bal

mer

(199

7)

(a)

Akey

elem

ent

whic

hgiv

esa

busi

nes

sid

enti

tyit

sdis

tinct

iven

ess

and

rela

tes

toth

eat

titu

des

and

bel

iefs

ofth

ose

wit

hin

the

organ

isat

ion

Ther

efor

eth

ere

appea

rsto

be

apri

me

faci

eca

sefo

rlinkin

gth

eco

nce

pt

toor

gan

isat

ional

iden

tity

and

toth

eco

nce

pt

ofco

rpor

ate

cult

ure

V

ide

supra

(b

)O

lins

pos

tula

ted

that

anor

gan

isat

ionrsquos

cult

ure

invar

iably

dev

elop

sar

ound

the

organ

isat

ionrsquos

founder

and

afte

rth

efo

under

rsquosdep

artu

rere

quir

esm

anag

emen

tat

tenti

onin

order

tofi

llw

hat

the

auth

orca

lls

`the

per

sonal

ity

def

icit

rsquorsquoA

uth

ors

who

refe

rto

the

conce

pt

inth

eir

wri

ting

orm

odel

spla

ceth

eco

nce

pt

per

sonal

ity

atth

ece

ntr

eof

busi

nes

sid

enti

ty

The

BB

Cst

udy

under

taken

by

Bal

mer

lead

sto

the

concl

usi

onth

atth

eco

rpor

ate

per

sonal

ity

refe

rsto

the

mix

ofco

rpor

ate

pro

fess

ional

re

gio

nal

and

other

sub-c

ult

ure

sin

organ

isat

ions

and

that

this

`cult

ura

lm

ixrsquorsquo

isa

key

elem

ent

ingiv

ing

dis

tinct

iven

ess

tobusi

nes

sid

enti

ties

C

lear

links

wit

hth

e`d

iffe

renti

atio

npar

adig

mof

cult

ura

lst

udie

srsquorsquo

Org

anis

atio

nal

iden

tifi

cati

onis

per

hap

sa

pre

fera

ble

conce

pt

inlight

ofth

edif

ficu

ltie

sas

soci

ated

wit

hth

enot

ion

that

organ

isat

ions

hav

ea

per

sonal

ity

inth

esa

me

way

that

hum

ans

do

This

conce

pt

has

also

suff

ered

asa

conse

quen

ceof

the

vag

arie

sof

fash

ion

Cor

por

ate

reputa

tion

Bro

mle

y(1

993)

C

aruan

aan

dC

hir

cop

(200

0)

Fom

bru

n(1

996)

F

ombru

nan

dV

anR

iel

(199

7)G

ray

and

Bal

mer

(199

8)

Gre

yse

r(1

999)

Sob

olan

dF

arre

ll(1

988)

W

eigel

tan

dC

amer

er(1

988)

(a)

One

obje

ctiv

eof

effe

ctiv

ebusi

nes

sid

enti

tym

anag

emen

tis

the

acquis

itio

nof

afa

vou

rable

reputa

tion

amon

gkey

stak

ehol

der

gro

ups

This

isbel

ieved

togiv

eth

eor

gan

isat

ion

aco

mpet

itiv

ead

van

tage

(b)

Fom

bru

nan

dV

anR

iel

pro

vid

esi

xca

tegor

isat

ions

ofco

rpor

ate

reputa

tion

sre

flec

ting

the

six

dis

tinct

lite

ratu

res

onth

ear

eaw

hic

hvar

iousl

yfo

cus

onit

sfi

nan

cial

wor

th

its

trai

tsan

do

rsi

gnal

sit

sfo

rmat

ion

reputa

tion

alex

pec

tati

ons

and

nor

ms

and

onre

puta

tion

alas

sets

and

mob

ilit

ybar

rier

s

Corporate identitybranding and

marketing

257

Table IIIThe saliency of

identity and relatedconcepts in addressing

major organisationalconcerns

Concept Addresses key question Commentsexplanations

Corporate identity What are we Also involves addressing a series ofquestions including What is ourbusinessstructurestrategyethosmarketperformancehistory andreputationrelationships to otheridentities

Organisationalidentity (corporatepersonality)a

Who are we The mix of dominantascendantsubcultures withintranscending theorganisation Employeesrsquo relationshipswith myriad organisational identities(holding company subsidiaryiesdepartments original current andemergent identities) Professionalcultural industrial sexual identitiesetc

Visual identity (visualidentificationsystem)

What are theorganizationrsquos symbolsand system ofidentification

Do the organisationrsquos visual (and verbal)cues communicate whatwho we areWhatwho we were Whatwho wewish to be A mix of the above Isthere clarity or confusion Does itreflect or possibly inform currentstrategy

Corporatecommunication

Is there integratedcommunication

In relation to management organisationaland marketing communications Arethey integrated in terms ofmanagement philosophy and process

Total corporatecommunications

Is there congruency revertical and horizontalcommunication

Vertical between corporatecommunication corporate actionsperformance and behaviours andbetween third partiesHorizontal asabove but also congruency over time

Corporate image What is the currentperception andorprofile

In relation to the immediate mentalperception of the organisation held byan individual group or network

Corporate reputation What distinctiveattributes (if any) areassigned to theorganisation

The enduring perception held of anorganisation by an individual group ornetwork

Corporate brand What is the promiseinferred fromcommunicated by thebrand

Are these inferences accurate reflected inreality (the promiseperformance gap)shown in management commitment andunderpinnedmade explicit by effectivecommunications Vida supra

Note aThe traditional andor preferred marketing description

EuropeanJournal ofMarketing3534

258

author of this article calls ` the personality deficitrsquorsquo) Over time it is the mix ofsubcultures (corporate professional national etc) present within theorganisation that fills this void and gives it a collective personality albeit apersonality of many different elements (cf Balmer and Wilson 1998)

As Gioia (1998) noted

Like individuals organisations can be viewed as subsuming a multiplicity of identities eachof which is appropriate for a given context or audience Actually at the organisation level thenotion of the multiple identities is perhaps the key (if subtle) point of difference betweenindividuals and organisations

He continued

Thus organisations can plausibly present a complicated multifaceted identity eachcomponent of which is relevant to specific domains or constituents without appearinghopelessly fragmented or ludicrously schizophrenic as an individual might

The notion of multiple identities will be further explored in the 15th reason forthe fog

Second reason for the fog the existence of different paradigmatic viewsvis-aAacute-vis business identityrsquos raison drsquoeAtildetreThere are three distinct perspectives on how the business identity conceptshould be defined and explored The three perspectives are functionalistinterpretative and post-modern Gioia (1998) expounded the nature of thedebate taking place in each of these philosophical schools with regard toorganisational identity Here the modus vivendi is to uncover why and howemployees think and act in relation to their employerorganisation Theseparadigms also inform thought within other fields of business identity and ofcourse management studies generally

The functionalist lens regards business identity as a social fact Consequentlya business identity can be observed moulded and managed The key researchissues centre on uncovering describing and measuring a business identityObservation and psychometric instruments are the preferred research tools

The second paradigm embracing the interpretative perspective has as itsmain focus the understanding of how employees construct meaningsregarding who they are within an organisational environment Businessidentity is viewed as a socially constructed phenomenon with employeesseeking to give some level of meaning to their work existence The researchfocus is to uncover the meanings employees attach to their organisation Thestudy of organisational symbols underlines the methodical approach of thisparadigm

The final component of the troika of perspectives the post-modernparadigm seeks to disclose power-relationships regarding business identityThe emphasis focuses on complexity rather than on simplicity Businessidentity is regarded as a collection of transcendatory perspectives about howorganisational members view themselves Provocation and reflexivity

Corporate identitybranding and

marketing

259

characterise the research process The main research tools are language anddiscourse While such schools may appear to be irreconcilable as Gioia (1998)observes they do give richness to the general understanding of the businessidentity concept as do other perspectives in this nascent area This is a keyleitmotif of this article and the author argues should characterise emerginguacuteuvre pertaining to business identity studies

Third reason for the fog multifarious disciplinary perspectives re business identityThe literatures pertaining to business identity and particularly to corporateidentity organisational identity and visual identification reveal a plethora ofperspectives with regard to first the scope of the various identity conceptsregarding various management disciplines and second the shiftingperspectives relating to the relationships between the three identity conceptsFigure 1 shows the various relationships that have been postulated in theliterature This illustrates the huge disparity between the nature and roAtildele ofidentity studies On closer examination it becomes apparent that some of thenarrower perspectives relate to what is more appropriately called visualidentity The final interdisciplinary approach represents the authorrsquos view thatbusiness identity studies will form the keystone of corporate marketingTaking up the metaphor of the silver lining outlined in the opening paragraphof this article it becomes apparent that while there has been a traditional lackof agreement on the nature and roAtildeles of identity Figure 1 does show that the(business) identity is an omnipresent concept across a whole spectrum ofmanagement and marketing areas

Fourth explanation for the fog a failure to make a distinction between theelements comprising a business identity and the elements to be considered inmanaging a business identityIt should be borne in mind that business identity in its various facets may beseen as concept philosophy and as a process Concept and philosophy will bediscussed in this section and the process will be examined under the fifthexplanation

The literature reveals a lack of consensus as to the elements which constitutea business identity (the business identity mix) as well as a failure to distinguishbetween the elements of the corporate identity management mix

The approach taken by Balmer and Soenen (1999) appears to be the first tomake a clear distinction between first the elements comprising a businessidentity and second the elements required of its management This businessidentity mix embraces a triumvirate of elements termed

(1) the soul (the subjective elements of business identity including thevalues held by personnel which find expression in the plethora ofsub-cultures and the mix of identity types present within organisations)

(2) the mind (the conscious decisions made by the organisation vis-aAacute -vis theespoused organisational ethos vision strategy and productperformance) and

EuropeanJournal ofMarketing3534

260

(3) the voice (this encompasses the multi-faceted way in whichorganisations communicate internally and externally to stakeholdergroups and networks and which is normally called ` total corporatecommunicationsrsquorsquo viz Balmer and Gray (1999)

Figure 1The evolvingrelationships betweencorporate identity andother conceptsdisciplines

Corporate identitybranding and

marketing

261

An additional trio of elements melding with the above form what Balmer andSoenen call the business identity management mix

The additional elements of Balmer and Soenenrsquos identity management mixare environmental forces (the need to take cognisance of this) stakeholders (theneed to be aware of stakeholders) and reputations (encompassing thereputation of the holding company its subsidiaries and business units thecountry-of-origin and the organisationrsquos partners such as alliance partners)

Mention may be made of those other authors who have attempted toarticulate the elements of a business identity These include Birkigt and Stadler(1986) the Mitsubishi Model of Japan (nd) and those by Schmidt (1995) andSteidl and Emory (1997)

Birkigt and Stadlerrsquos (1986) identity mix which is assigned a good deal ofimportance in Van Rielrsquos text (1995) and in a good deal of the subsequentliterature consists of a quartet of elements

(1) personality

(2) behaviour

(3) communication and

(4) symbolism

It would appear that this mix articulates the elements by which a businessidentity is known The mix emphasises the communications effect(s) of anorganisationrsquos behaviour communication policies and visual symbolism Themix is useful in revealing some of the major channels by which a businessidentity may be known and represents a distinct shift away from acategorisation of corporate identity in purely visual terms However incomparison to other more recent approaches it is somewhat narrow in scope

The primary objective of the Mitsubishi mix (nd) is to reveal those elementsthat constitute a business identity As with Balmer and Soenenrsquos (1999) mixthis approach draws on a trio of elements It is clear that a certain lineage maybe inferred between the English and Japanese approaches The Mitsubishi mixis segmented into what is called the mind identity (what the organisation isstriving to achieve) the strategic identity (the type of strategy which will causethe mind identity to become a reality) and the behaviour identity (the range andtypes of behaviour undertaken by the organisation)

Schmidtrsquos (1995) mix originating from the London-based Anglo-Germanconsultancy Henrion Ludlow and Schmidt comprises a quintet of elements

(1) corporate culture

(2) corporate behaviour

(3) market condition and strategies

(4) product and services and

(5) communication and design

EuropeanJournal ofMarketing3534

262

this clearly suggests it is a mix focusing on the management of businessidentity As such the mix takes cognisance of how an identity is revealed(through communications and design) but also assigns importance to marketconditions

Steidl and Emory (1997) have produced what is clearly a business identityrather than a business identity management mix As with Balmer and Soenen itwould appear that these two writers have been in part influenced by SinoNippon approaches to business identity and this is reflected in their choice ofterminology This Australian model is built around another trio of elementsthe mind (the philosophy and strategy through which the organisation securesthe support of customers) the spirit (the values of the organisation and theresponse this evokes amongst key stakeholder groups) and the body (the totalphysical infrastructure which is required to operate the business) Of note hereis the emphasis accorded to ` the bodyrsquorsquo which is not encompassed by the othermodels Rather surprisingly ` the bodyrsquorsquo does not encompass organisationalstructure Thus the author is of the view that a broader interpretationencompassing company structure would appear to be appropriate Theimportance of structure is similarly noted by Balmer and Gray (1999) Ind(1996) Morison (1997) and Stuart (1998a 1999b) The authorrsquos new identitymixes taking cognisance of the above comprises four elements and this isillustrated in Figure 2

Unlike the approaches used by Balmer and Soenen Schmidt and Steidl andEmory it has been decided to break with (at least from a British NorthAmerican and Commonwealth perspective) the practitioner legacy which usesthe human metaphor The four elements comprising this new mix are strategystructure communication and culture

The need to make a distinction between the variables comprising a businessidentity and the task elements to be considered with regard to the managementof a business identity mix is deserving of more attention by both scholars andpractitioners than has been the case to date

The implications of the authorrsquos new mix and those of many of other mixesis that researching a business identity involves using Gioiarsquos (1998 p 26)classification plusmn marrying the interpretive lens (with regard to understandingpersonnelrsquos various affinities to different identities) with the functionalist lens(with regard to the above parts of the mix) Consequently what is required is afurther breaking down of boundaries between research paradigms Thisprocess has implications not only for identity scholarship but also for identityconsultancy and management

Fifth explanation for the fog disagreement with regard to the objectives ofbusiness identity managementThe literature reveals a wide variety of purposes and objectives associated withbusiness identity management Balmerrsquos (1995) initial literature review

Corporate identitybranding and

marketing

263

revealed that corporate identity change programmes were variously used as avehicle to assist in

strategy formulation

culture-change

effective corporate communication

articulating a corporate strategy

articulatingchanging the organisationrsquos culture

acting as a platform for corporate communications and

ensuring that the organisationrsquos visual identity is fashionable

This is indicative of the multidisciplinary nature of the domain with the type ofidentity change reflecting the aspects of the organisationrsquos identity that requireattention

Significantly the effective management of a business identity has beenregarded as imbuing an organisation with a favourable image (cf Abratt 1989

Figure 2Balmerrsquos new identity

mix and identitymanagement mix

EuropeanJournal ofMarketing3534

264

Balmer 1995 Birkigt and Stadler 1986 Dowling 1994 Steidl and Emory 1997Tyrrell 1995 Van Rekom 1997) and more recently the acquisition of afavourable corporate reputation coupled with business survival andprofitability (Balmer and Stotvig 1997 Van Riel and Balmer 1997 Gray andBalmer 1998) The objective of acquiring a favourable corporate image hasfallen out of favour since the concept of the corporate image is fraught withdifficulty (Balmer 1998) The acquisition of a corporate brand on the otherhand has been identified as an objective of corporate identity management(Balmer 1999a) The ICIG statement reproduced in Appendix 1 cites a numberof possible objectives in relation to corporate identity management namely

fostering a sense of individuality

achieving differentiation in a competitive environment

providing disciplinary integration

providing a platform for coherent corporate communication

nurturing an image that is consistent with the organisationrsquos definingethos and character

nurturing understanding and commitment among stakeholders

attracting and retaining customers and employees

achieving strategic alliances and

gaining support of financial markets

Sixth explanation of the fog a traditional lack of dialogue between Anglophoneand non-Anglophone scholars and writersIn addition to the lack of dialogue between scholars from different disciplines anotable feature of the literature on business identity is how linguistic andcultural barriers have exerted an influence in the general understanding of thearea The most dramatic divide is between Anglophone and non-Anglophonenations For instance the literature on business identity emerging frommainland Europe appears to have developed quite independently from theNorth American literature and also from that of the UK and the old (British)Commonwealth and vice versa An example of this is the French school ofthought on corporate identity (Moingeon and Ramanantsoa 1997) TheNetherlands appears to be the exception to the rule owing to the linguisticdexterity of the peoples of that kingdom This can be seen in Van Rielrsquos (1995)influential text Principles of Corporate Communication which contains averitable cornucopia of international sources

Further afield questions of language have hindered our understanding ofSino and Japanese approaches to the area The current understanding ofbusiness identity in `Westernrsquorsquo nations might need to undertake a furtherradical reappraisal in order to accommodate what appear to be substantivedifferences of approach between ` Westernrsquorsquo and ` Asianrsquorsquo scholars of businessidentity Reference has already been made to the Mitsubishi mix According to

Corporate identitybranding and

marketing

265

Steidl and Emory (1997 pp 4-5) the Japanese approach to business identityadopts a radically different manner from that found in other nations They referto Motoo Nakanishi the chairman of one of Japanrsquos foremost businessconsultancies who states that Japanese business identity change programmesare characterised by their longevity in planning and implementation and thatthey are also dependent upon the CEO championing such a change In contrastNakanishi comments that US identity change programmes reflect the characterof the CEO to a greater extent than Asian approaches are similar to Japaneseprogrammes in their reliance on the CEO for their success are more project-orientated and are short-term in scope For their part Johansson and Hirano(1999) point out that in Asia there is a higher degree of parallelism betweenindividual and corporate objectives than in the West cf Balmer and Wilson(1998)

Seventh explanation for the fog the traditional lack of dialogue betweenresearchers from different disciplinesThe business identity literatures encompass distinctive and not so distinctiveschools of thought business communications and corporate communications(Cheney and Christensen 1999 Van Riel 1995) graphic design (Olins 1995Schmidt 1995) image and image-research (Brown 1998 Barich and Kotler1991 Worcester 19861997) marketing (Abratt 1989) organisationalbehaviour (Albert and Whetten 1985 Mael and Ashforth 1992) publicrelations (Grunig 1993) psychology (Bromley 1993) reputation (Fombrun1996) and strategy (Gray and Smeltzer 1985 Marwick and Fill 1997 Morison1997) A multi-disciplinary approach is adopted by Balmer (1995 1998) with astrong marketingcommunications emphasis

Despite the wealth of disciplines the degree of cross fertilisation of ideas andinsights from these literatures is comparatively slight It would appear thatbusiness identity issues have to a large degree matured along narrow verticaland disciplinary paradigms There has been little in the way of multi-disciplinary holistic development This may be placed in the context of thevarious business identity mixes articulated by Balmer and Soenen (1997)Birkigt and Stadler (1986) Schmidt (1995) and Steidl and Emory (1997) thatclearly demand that a broad multi-disciplinary approach be adopted

Mention may also be made of Whetten and Godfreyrsquos (1998) book Identity inOrganisations where academics from a number of disciplines discuss variousfacets of the business identity world However there is a paucity of materialemanating from British Commonwealth and European sources in this text andfor the main little from the marketing literature is marshalled This may becontrasted with the recent marketing literature where organisationalbehaviourists for instance have made a significant contribution

Eighth explanation for the fog the association with graphic designThe importance accorded to graphic design in the business identity literaturehas exacerbated the confusion surrounding the area and may in retrospect be

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seen to have exerted a deleterious influence regarding the conceptualisation ofidentity In the past this has led to the business identity domain being narrowlyconceived Some writers with backgrounds in marketing and communicationhave accorded symbolism the same importance as other business identityelements such as behaviour and communication viz Birkigt and Stadler (1986)The emphasis accorded to graphic design in business identity studies has beenperpetuated by many so-called corporate identity consultancies who are to allintents and purposes graphic design consultancies Research undertaken byMORI revealed that significant numbers of managers in UK and Europe stillequate UK-based corporate identity with graphic design (cf Schmidt 1995)Such has been the influence of graphic design that it has almost becomeaxiomatic that any change of business identity will have an attendant changeof visual identity The author has not to date discovered a case where acorporate identity consultancy advising a client during a business identitychange programme has not as a minimum tweaked the corporate logo This isa curious state of affairs and again raises some profound questions Wolff Olins(Europersquos largest corporate identity consultancy) in their ` Guide to corporateidentityrsquorsquo produced for the UK weekly magazine Marketing (1990 pp 19-24)made this very point

Because of corporate identityrsquos roots in design it will probably entail a new or revised logodesign

With the passing of ten years little appears to have altered For instance themajority of personnel employed by corporate identity consultancies tend tohave a background in graphic design The author is of the view that thegraphic design emphasis ascribed to business identity has thrown the area outof kilter This has had the unfortunate effect of stifling a broader moresophisticated and scholarly appreciation of business identity The distinctcorporate identity and organisational identity literatures although somewhatparvenu in relation to the visual identity literature have without doubt made aprofound contribution to the general understanding of business identity overrecent years What is required is for a more balanced appraisal to take place vis-aAacute -vis the power of visual identity and of graphic design in what is starting to beknown as the corporate identity mixbusiness identity mix What is not refutedby the author is that visual identification does unquestionably have powerVan Riel (1995) pointed out the wide impact of visual communication when hewrote that the average lorry is capable of delivering 7-9 million visualimpressions per year or about 60 per kilometre Empirical work undertaken byMelewar and Saunders (1998) revealed the benefit of standardised globalcorporate visual identity systems Furthermore the use of what is known as` the visual auditrsquorsquo (an examination of the organisationrsquos symbolism and brandstructure) has been shown to be a most effective initial means ofcomprehending an organisationrsquos cultures power-base strategies andcommunication As such the visual audit may provide useful insights into anorganisationrsquos identity

Corporate identitybranding and

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267

However whereas a visual audit may reveal symptoms of inherent corporatemalaise many organisations fall into the trap of resorting to the initiation of anew visual identity as a means of correcting what can be profoundorganisational difficulties This may suggest a degree of naivety on the part ofsome senior managers and consultancies in failing to differentiate between thecauses and the symptoms (visual-identity) of a weak inconsistent negative orunwanted business identity As a result of this approach a number of authorstend to define corporate identity in prosaic terms namely ` what anorganisation isrsquorsquo While inadequate as a definition it does help to distance thearea from the narrow graphic design perspective

The emphasis on the visual has had another unfortunate effect in cloudingover the importance of the other senses of sound scent taste and touch Itwould be perverse to suggest that visually impaired customers employees orinvestors are unable to recognise differentiate between or form opinions oforganisations Upon reflection it becomes apparent that the non-visual sensescan be just as powerful in communicating the identity of a collective group Forexample the aural sense has a dominant role in the recognition of the identitiesof radio stations The aural sense also helps to differentiate one nation statefrom another via the use of languages and national anthems Important lessonscan in this regard be learned from ancient institutions such as the CatholicChurch which marshals all the senses to forge an impressive panoply ofsignals to support the Catholic Churchrsquos tenets and beliefs Although theCatholic Church has in recent years offered a somewhat flaccid version of itsidentity it is still possible to experience the effect of marshalling of all thesenses in an experience which is unique to the Catholic faith Thus at atraditional solemn celebration of the liturgy at Londonrsquos Brompton Oratorythe churchrsquos distinctiveness is communicated through among otherssymbolism (vestments church furnishings architecture posture of clergy andlaity) sound (Latin Gregorian chant and polyphony) smell (incense) touch(holy water) and taste (taking the sacrament)

Ninth explanation for the fog the effect of fashionVagaries in fashion in the use of concepts have played their part in thickeningthe fog surrounding the area A would-be scholar of business identity studieshas to show a good deal of perspicacity not only in accommodating the richvariety of concepts in use but also in exerting acute vigilance in theirassessment of what he or she understands by the concept The effects offashion can clearly be seen in the 1950s and 1960s when much attention wasfocused on the concept of the ` corporate imagersquorsquo Yet in the 1970s ` corporateidentityrsquorsquo grew in popularity and to some degree was used in preference to` corporate imagersquorsquo The corporate identityconcept was not only used as asurrogate for ` image managementrsquorsquo but has been viewed by some authors suchas Dowling (1994) as being fundamentally concerned with visual identityOthers saw the concept as embracing the distinct characteristics of anorganisation (Van Riel and Balmer 1997) In recent years reference to the

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` corporate brandrsquorsquo or what is sometimes termed ` service brandingrsquorsquo (cf Balmer1995 De Chernatony 1999) has replaced reference to ` corporate identityrsquorsquo Ofparticular note is corporate reputation which as a concept has been in theascendant over recent years and has almost eclipsed references to the corporateimage in the literature and in management parlance What is apparent is thattoo many practitioners and some scholars have tended to regard the emergenceof a new concept as a replacement to what has gone before rather thanconsidering each new concept for its potential in building on what preceded itand furthering therefore the general understanding of the creationmanagement and saliency of business identity

Tenth explanation for the fog the inappropriateness of the positivistic researchparadigm in the initial stage of theory generation vis-aAacute-vis identityUndue attention has been given to measuring the outcomes and benefits ofeffective business identity management Providing a firm foundation regardingthe nature andor driving forces of business identity will do much to lift the fogsurrounding the area In this regard the research paradigm of naturalism isperhaps more appropriate than positivism in explaining a phenomenon such ascorporate identity which has not previously been subjected to a great deal ofempirical research viz Van Mannen (1985) Case studies can also be usefulwith regard to theory building research in the field of corporate identity Oliver(1997) argued the importance of case study research albeit in relation tocorporate communication and stated that formal theories do develop from casestudies Oliver is supported in her view by others including Gill and Johnson(1991) and Yin (1984)

While some caution needs to be applied to the maxim found in VirgilrsquosAeneid ` ab uno disce omnesrsquorsquo (from one learn all) it would perhaps be equallyperverse to suggest the opposite that nothing is gained from the findings ofcase studies This is after all the modus operandi underpinning HarvardBusiness Schoolrsquos pedagogical approach

Deshpande (1983) notes that quantitative methods are more suitable fortheory testing than theory generation Vankatesh (1985 p 62) commented thatthe emphasis on empirical research data analysis and quantitative modellingoffers little potential for theory generation As such the author argues thatmarketing scholars should give a greater emphasis to qualitative and casestudy research

Eleventh explanation for the fog the paucity of empirical academic researchThree reasons are postulated by the writer as to why there has been a lack ofpublished empirical research

(1) Until recently the traditional lack of interest from all but a fewmanagement academics

(2) The difficulty in getting published in mainstream management journals

(3) The difficulty in undertaking research into corporate identity

Corporate identitybranding and

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269

Invariably business identity issues encompass issues that are of particularsensitivity and have fundamental importance to organisations and their seniormanagement Therefore researchers are likely to experience acute difficulty inresearching changes of business identity which probe into the quintessence ofan organisationrsquos existence and which can propel to the fore issues of greatsensitivity and political importance In addition new scholars are likely to havethe wherewithall to extrapolate data and disseminate their findings throughlearned journals

Although this traditionally has been the case it is difficult to say whetherthis is a cause or effect vis-aAacute -vis points (1) to (3) Perhaps all elements have madea contribution What is encouraging is that more scholars are embarking onresearch into this business identity and this is represented in the burgeoningnumber of candidates embarking upon doctoral research in corporate identitySignificant empirical research to date includes that by Balmer and Wilson(1998) relating to the BBC and a major UK high street bank Dutton andDukerichrsquos (1991) research on the New York port authority Elsbach andKramerrsquos (1996) research in US universities Gioia and Thomasrsquos (1996)investigation relating to universities and Van Rekomrsquos (1997) study focusing ona sector of the Dutch tourism industry

Twelfth explanation for the fog undue focus being accorded to the businessidentities of holding companiesparent organisationsThe literature reveals a bias towards the identities of holding or parentcompanies with insufficient attention being given to the identities ofsubsidiaries as well as to industrial identities alliances licensing arrangementsand to federal types of organisational structures An exception to the latter wasBalmerrsquos (1996) research which focused on BBC Scotland plusmn a subsidiary of theBBC The emphasis accorded to the identities of parent organisations hasperhaps resulted in a far too simplistic categorisation regarding therelationship between subsidiaries business units and the holding companyThis can be seen in Olinsrsquos (1978) highly influential tripartite categorisation ofbusiness identities which he calls monolithic endorsed and brandedAlthough this is a useful basic classification it disguises the fact that parent-subsidiary relationships are invariably more complicated as evinced byKammerer (1989) Furthermore insufficient attention is given to the industry-wide generic identities with the exception of Balmer and Wilkinson (1991) andWilkinson and Balmer (1996)

Upon reflection there are other identity types such as the identity ofalliances including the ` Starrsquorsquo ` One Worldrsquorsquo and ` Wingsrsquorsquo airline alliances theidentity of consortiums such as the European Airbus and the sharing of abrand name by several important companies Examples include the Hiltonbrand name which is shared by Hilton Hotel of the USA and Ladbrokes of theUK the Rolls-Royce brand licensed to car manufacturers VWBMW(Germany) by the UK aero-engines group Rolls-Royce the multiplicity ofidentities subsumed beneath the umbrella of the Virgin brand and the Co-op

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270

brand in the UK which serves as an umbrella brand for its labyrinthicorganisational structure The simplistic approach to organisational structureand strategy outlined above and the graphic design bias has in the authorrsquosopinion served to obfuscate business identityrsquos palpable affinity with corporatestrategy

Thirteenth explanation for the fog the emphasis assigned to Anglo-Saxonforms of business structuresFor the main the various literatures of business identity focus on Anglo-Saxonforms of business identity which is characterised by short termism and whereshareholders are accorded particular importance Little has appeared inEuropean journals with regard to non Anglo-Saxon forms of businessidentities As such it would appear that undue emphasis is accorded to verticalrather than to horizontal organisational structures

There is prima facie case to suggest that existing Anglo-Saxon theories ofbusiness identity are inappropriate to certain organisational structuresoperating in other countries due to cultural and economic reasons This canperhaps be most clearly seen in Japan and Korea The traditional Japanesekeiretsu structure which encompasses well known brand names such asMitsubishi Mitsui and Sumitomo differ from their Anglo-Saxon counterpartsin that they invariably include financial services companies that can providefinance to other members of the keiretsu Typically each keiretsu structurecontains

a commercial bank a trust bank and a life insurance company

each group contains a trading company which supports other membersof the group through the provision of such things as intelligence andproject management

there is cross-shareholdings of such groups which makes it difficult fora member of the group to be threatened with an aggressive take-over

in times of crisis members of the kieretsu group will provide supportfinancial or service to the beleaguered company and finally

there is a leading group of companies

The Korean chaebol structure is similar to the Japanese keiretsu structure withthe exception that first members of the founding family still in some instancesmanage the company and second the chaebol does not contain powerfulfinancial institutions or trading companies

What is clear from the above illustration is that Eastern businessrelationships are more complicated than those witnessed in many Anglo-Saxoncompanies that the visualbranding structure is invariably applied to a familyof more or less autonomous companies rather than to a single commercialconcern that the notion of internal communications takes on a particularlyimportant role vis-aAacute -vis communication between members of the kieretsuchaebol and that the external communication is more complicated This is

Corporate identitybranding and

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271

because each company of the group not only needs to support its own corporatecommunication efforts and reputation but also that of the group Here thegrouprsquos reputation will appear to act as a powerful control mechanismBalmerrsquos (1998) DEAR Model (Decisions are Evaluated Against theorganisationrsquosgrouprsquos Reputation) may be of use in this regard

It is important to recall that there are other forms of organisational structureoperating in the West other than Anglo-Saxon structures One approachprevalent in southern Europe and termed ` the Latin approachrsquorsquo is according toCova and Aubert-Gamet (1997) based on the view that marketing institutionsare less effective than proximate communities influencing peoplesrsquo behaviourCova coined the term ` societingrsquorsquo to encapsulate this approach A case in pointis the Rhine model of organisations which for obvious reasons is prevalent inthose nations bordering the Rhine Here there are flatter more community-focused structures

In Germany businesses are not dominated by big brand names In a 1989survey for Business Week Germany accounted for only 3 per cent of the worldrsquos1000 largest companies Germanyrsquos strength (and also that of Northern Italy)rests in its Mittelstand These are small to medium-sized family businesses InGermany the characteristics of such companies are

family owned

financiers or investors are not owners or controllers of the companies

the objective is long term survival and

stakeholdersrsquo groupings cannot so easily be broken down into internaland external stakeholders

Interestingly concern is shown to stakeholders of the future Table IV providesa summation of the Anglo-Saxon and the Rhine and Asian approaches

Fourteenth explanation of the fog weaknesses in early traditional marketingmodels of corporate identitycorporate image management and formationThe fourteenth weakness identified by the writer is the weaknesses in many ofthe more influential conceptual models of corporate imageidentityreputationformation (Abratt 1989 Dowling 1986 1993 and Kennedy 1977) It wouldappear that in some of these models the writers confuse corporate identity withcorporate image While the writer is critical of some of the models each of themmakes a valuable contribution to the debate on the area Certainly several ofthese models were at the cutting edge of the debate on the area at the time theywere published These four models will be examined in turn

Abrattrsquos model (1989)Abrattrsquos conceptual and prescriptive model has the objective of explaining thecorporate image management process and adopts an ` outside inrsquorsquo focus (animage reputation focus) rather than an inside out (an identity personalityfocus) Abrattrsquos model is most useful in that it attempts to integrate the

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272

problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

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273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

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274

challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

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275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

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276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

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277

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dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

References

Aaker DA (1996) Building Strong Brands The Free Press New York NY

Aberg L (1990) ` Theoretical model and praxis of total communicationsrsquorsquo International PublicRelations Review Vol 13 No 2

Abratt R (1989) ` A new approach to the corporate image management processrsquorsquo Journal of MarketingManagement Vol 5 No 1 pp 63-76

Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

Corporate identitybranding and

marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

EuropeanJournal ofMarketing3534

288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 3: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

EuropeanJournal ofMarketing3534

250

articles devoted to the area Of additional note are the special editions ofjournals devoted to the area including the European Journal of Marketing(1997) International Journal of Bank Marketing (1997) CorporateCommunications (1999) and The Academy of Management Review (2000)

The saliency of the identity concept to contemporary organisations and tomanagement academics from various disciplinary backgrounds has beenarticulated by Cheney and Christensen (1999) They observed that identity wasa pressing issue for many institutions and that the question of identity or ofwhat the organisation is or stands for cuts across and unifies many differentorganisational goals and concerns

This interest in identity has led to the emergence of courses on the areaCourses in strategic business identity management have been offered atStrathclyde Business School since 1991 where an International Centre forCorporate Identity Studies was also established A number of other leadingbusiness schools have also begun or are about to offer business identity studiesas part of their degree courses including Bradford School of Management(UK) Cranfield University (UK) Erasmus Graduate Business School (TheNetherlands) Harvard Business School (USA) HEC Paris (France) QueenslandUniversity of Technology (Australia) Loyola University Los Angeles (USA)and Waikato University (New Zealand) Not surprisingly the realisation of thesaliency of business identity is reflected in texts by academics who to varyingdegrees focus on business identity (Bromley 1993 Dowling 1993 Fombrun1996 Van Riel 1995) Articles are also to be found on the area in many businessand academic journals and in a growing number of business and marketinghandbooks and encyclopaedias (Balmer 1999a Cheney and Christensen 1999Tyrell 1995) Recently Whetten and Godfrey (1998) have edited a book whichdraws on several different academic traditions regarding identity However itadopts an overtly North American and behavioural stance on the area andmarshalls little of the marketing literature that has been extant since the 1950s

However the rapid ascendancy of business identity has had the ratherunfortunate effect of producing what the Scottish call a haar plusmn a thick sea fogAn examination of the literature on corporate identity and related areas has ledthe author to identify 15 contributory reasons for the fog This article seeksfirst to explain the factors causing the fog and second to begin the task ofrevealing the horizon of business identity studies which has thus far beendisguised

Business identity why the fogWhile this article will largely focus on the business identity concept it will alsomake reference to other related areas namely corporate reputation totalcorporate communications and corporate branding

The 15 contributory factors which have created fog vis-aAacute -vis businessidentity are illustrated in Table I

Corporate identitybranding and

marketing

251

First explanation for the fog the terminologyProviding an exegesis of the literature surrounding the family of conceptsrelated to business identity is a difficult task Existing literature reviews gosome way in giving clarity in this regard (Abratt 1989 Balmer 1998 Fombrunand van Riel 1997 Grunig 1993 Kennedy 1977)

What is clear is that the identity concept in its various facets is ubiquitousbut it can be used with reckless permissiveness among practitioner circles andto a lesser degree among scholars The practitioner literature is replete withexamples of where identity is initially defined in terms of the fundamentalattributes of an organisation but often undergoes a dramatic volte-face withidentity solutions being explained only in graphic-design terms The existenceof a trio of identity concepts is indicative of the perspicacity which needs to beaccorded by identity scholars The literature pertaining to the three identityconcepts is still evolving as is the relationship between the concepts A degreeof symbiosis is occurring and the author shares Whetten and Godfreyrsquos (1998)view of the efficacy of greater dialogue between management scholars fromdifferent disciplinary perspectives

The literature covering the business identity domain not only makesreference to the triumvirate of concepts underpinning business identity(corporate identity organisational identity and visual identity) but alsoembraces a wealth of other concepts comprising the corporate brand corporatecommunicationtotal corporate communications corporate image corporatepersonality and corporate reputation However as several writers haveremarked there is a lack of consensus as to the precise meaning of many of the

Table IThe 15 contributory

factors for the fogvis-aAacute -vis business

identity

1 The terminology2 The existence of different paradigmatic views vis-aAacute -vis business identityrsquos raison drsquoeAtildetre3 Multifarious disciplinary perspectives re business identity4 A failure to make a distinction between the elements comprising a business identity and

the elements to be considered in managing a business identity5 Disagreement with regard to the objectives of business identity management6 A traditional lack of dialogue between Anglophone and Non-Anglophone scholars and

writers7 The traditional lack of dialogue between researchers from different disciplines8 The association with graphic design9 The effect of fashion

10 The inappropriateness of the positivistic research paradigm in the initial stages oftheory generation vis-aAacute -vis business identity

11 The paucity of empirical academic research12 Undue focus being accorded to the business identities of holding companiesparent

organisation13 The emphasis assigned to Anglo-Saxon forms of business structures14 Weaknesses in traditional marketing models of corporate identitycorporate image

management and formation15 A failure to make a distinction between the actual communicated conceived ideal and

desired identities

EuropeanJournal ofMarketing3534

252

concepts articulated above and the relationships between them Abrattrsquos (1989p 66) insightful comment articulated below reflects the views of many scholarsincluding Balmer and Wilkinson (1991) Ind (1992) Olins (1978) and Van Rieland Balmer (1997)

Despite the voluminous literature the concepts remain unclear and ambiguous as nouniversally accepted definitions have emerged (Abratt 1989)

The following authors provide an overview of the following concepts corporateidentity (Balmer 1998) organisational identity (Whetten and Godfrey 1998)visual identity (Chajet and Schachtman 1998) corporate image (Grunig 1993)corporate personality (Olins 1978) corporate reputation (Fombrun and VanRiel 1997) corporate communications (Van Riel 1995) total corporatecommunications (Balmer and Gray 1999) and the corporate brand (Macra1999) The muddled use of the terminology has perhaps contributed more tothe fog surrounding the business identity domain than any other factor For thewould-be novice of business identity studies or indeed of corporate marketingthe concepts may at first sight appear to be impenetrable and theirrelationships Byzantine in complexity The author while recognising the abovedifficulties is of the view that the emergence of a family of related concepts isindicative of business identitycorporate marketingrsquos growing maturityAccording to Watershoot (1995 p 438) the making of listings and taxonomiesis one of the primary tasks in the development of a new body of thought TableII articulates the authorrsquos understanding of the principal concepts therelationships between them and their place in the current understanding ofbusiness identity including its nature management objectives and outcomesBuilding upon Table II Table III attempts to show the saliency of the identityand related concepts in addressing key organisational issues and questions

One problem associated with some of the concepts is the analogy that issometimes made between the human identity and personality and the corporateidentity and personality There are clear benefits but also dangers inassuming that corporate entities can be understood explained and altered byapplying the principles of social psychology (cf Bromley 1993) A couple ofobservations need to be made here First the use of metaphors pertaining to thehuman identity has been used by leading identity scholars such as Albert andWhetten (1985) and is particularly prevalent in their text Identity inOrganisations (Whetten and Godfrey 1998) Many of these anthropologicalmetaphors were introduced by practitioners for practical reasons Alan Siegalrsquosuse of the ` voicersquorsquo (corporate communication) metaphor and Olinsrsquos use of thepersonality metaphor are perhaps the most obvious examples For example inOlinsrsquos text (1978) the corporate personality and its link with the humanpersonality is more apparent than might be deduced from a reading of therecent literature Olins hypothesised that organisations in their formative yearsoften mirror the personality of the organisationrsquos founder and it is theorganisationrsquos founder or founders who Olins argues imbue the organisationwith its distinctiveness Once the founder has left there is a void (what the

Corporate identitybranding and

marketing

253

Table IIOverview of the main

concepts

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Cor

por

ate

bra

nd

Aak

er(1

996)

B

alm

er(1

995

1999

)In

d(1

996)

D

eC

her

nat

ony

(199

9)G

regor

y(1

997)

K

apfe

rer

(199

2)K

ing

(199

1)

Mac

rae

(199

9)M

aath

ius

(199

9)IC

IGSta

tem

ent

(See

Appen

dix

1)

(a)

The

acquis

itio

nof

afa

vou

rable

corp

orat

ebra

nd

isan

espou

sed

obje

ctiv

eof

busi

nes

sid

enti

tym

anag

emen

tA

corp

orat

ebra

nd

pro

pos

itio

nsh

ould

be

der

ived

from

the

organ

isat

ionrsquos

iden

tity

(b

)T

he

corp

orat

ebra

nd

mix

consi

sts

ofcu

ltura

lin

tric

ate

tangib

lean

det

her

eal

elem

ents

`C2IT

Ersquorsquo

(Bal

mer

20

00)

Inth

isar

ticl

eco

mm

itm

ent

has

bee

nad

ded

asa

fift

hel

emen

tT

his

isbec

ause

aco

rpor

ate

bra

nd

requir

esco

mm

itm

ent

from

all

staf

fas

wel

las

com

mit

men

tfr

omse

nio

rm

anag

emen

tan

din

finan

cial

suppor

tT

he

corp

orat

ebra

nd

conce

pt

isre

late

dto

the

conce

pts

ofco

rpor

ate

reputa

tion

and

corp

orat

eim

age

whic

har

eal

soto

som

edeg

ree

conce

rned

wit

hper

cepti

on

Vid

ein

fraU

nlike

pro

duct

bra

nds

the

focu

sof

corp

orat

ebra

nds

ison

(i)

all

inte

rnal

and

exte

rnal

stak

ehol

der

san

dnet

wor

ks

(ii)

bas

edon

abro

ader

mix

than

the

trad

itio

nal

mar

ket

ing

mix

and

(iii)

isex

per

ience

dan

dco

mm

unic

ated

thro

ugh

tota

lco

rpor

ate

com

munic

atio

nra

ther

than

sim

ply

via

the

mar

ket

ing

com

munic

atio

ns

mix

V

ide

infr

a

Cor

por

ate

com

munic

atio

nan

dto

tal

corp

orat

eco

mm

unic

atio

ns

Aber

g(1

990)

B

alm

eran

dG

ray

(199

9)

Ber

nst

ein

(198

4)In

d(1

996)

IC

IGSta

tem

ent

(see

Appen

dix

1)

(a)

The

chan

nel

sby

whic

ha

busi

nes

sid

enti

tyis

mad

eknow

nto

inte

rnal

and

exte

rnal

stak

ehol

der

san

dnet

wor

ks

and

whic

htr

ansl

ates

over

tim

ein

toth

eac

quis

itio

nof

aco

rpor

ate

reputa

tion

cor

por

ate

bra

nd

reputa

tion

(b

)V

anR

ielrsquos

infl

uen

tial

corp

orat

eco

mm

unic

atio

nm

ixen

com

pas

ses

(i)

man

agem

ent

(ii)

organ

isat

ional

and

(iii)

mar

ket

ing

com

munic

atio

ns

Aber

gan

dB

ernst

ein

bro

aden

edth

e`c

orpor

ate

com

munic

atio

ns

mix

rsquorsquoan

din

cluded

elem

ents

such

asco

mpan

ypro

duct

san

dbeh

avio

ur

Bal

mer

expan

ded

Van

Rie

lrsquosco

nce

pt

toen

com

pas

sth

ose

com

munic

atio

nel

emen

tsw

hic

hca

nnot

be

contr

olle

den

titl

ing

this

`tot

alco

rpor

ate

com

munic

atio

nsrsquo

rsquoB

alm

eran

dG

ray

concl

uded

that

tota

lco

rpor

ate

com

munic

atio

ns

consi

sted

ofth

ree

elem

ents

(i)

pri

mar

yco

mm

unic

atio

n(t

he

com

munic

atio

nef

fect

sof

pro

duct

san

dof

corp

orat

ebeh

avio

ur)

(ii)

seco

ndar

yco

mm

unic

atio

n(in

esse

nce

Van

Rie

lrsquosm

ix)

(iii)

tert

iary

com

munic

atio

n(w

ord-o

f-m

outh

and

mes

sages

impar

ted

abou

tth

eor

gan

isat

ion

from

thir

dpar

ties

)(c

onti

nued

)

EuropeanJournal ofMarketing3534

254

Table II

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Cor

por

ate

iden

tity

Abra

tt(1

989)

B

alm

er(1

998)

B

alm

eran

dW

ilso

n(1

998)

B

irkig

tan

dSta

dle

r(1

986)

O

lins

(199

5)Sch

mid

t(1

995)

Ste

idl

and

Em

ory

(199

7)

Stu

art

(199

8a19

98b

1999

a)T

agiu

ri(1

982)

T

yre

ll(1

995)

V

anR

ekom

(199

7)

Van

Rie

l(1

995)

V

anR

iel

and

Bal

mer

(199

7)W

iedm

ann

(198

8)

ICIG

Sta

tem

ent

(See

Appen

dix

1)

(a)

The

mix

ofel

emen

tsw

hic

hgiv

esor

gan

isat

ions

thei

rdis

tinct

iven

ess

the

foundat

ion

ofbusi

nes

sid

enti

ties

(b

)A

lthou

gh

ther

eis

still

ala

ckof

conse

nsu

sas

toth

ech

arac

teri

stic

sof

aco

rpor

ate

iden

tity

au

thor

sdo

for

the

mai

nem

phas

ise

the

impor

tance

ofse

ver

alel

emen

tsin

cludin

gcu

lture

(wit

hst

aff

seen

tohav

ean

affi

nit

yto

mult

iple

form

sof

iden

tity

)st

rate

gy

stru

cture

his

tory

busi

nes

sac

tivit

ies

and

mar

ket

scop

eT

he

abov

eper

spec

tive

ofth

eco

rpor

ate

iden

tity

conce

pt

isbec

omin

gm

ore

com

mon

wit

hin

mai

nla

nd

Euro

pe

the

UK

and

the

Bri

tish

Com

mon

wea

lth

espec

ially

thos

efr

oma

mar

ket

ingc

omm

unic

atio

ns

bac

kgro

und

(Oft

en

corp

orat

eid

enti

tyis

erro

neo

usl

yuse

dw

hen

refe

rrin

gto

vis

ual

iden

tity

V

ide

Infr

a)

Org

anis

atio

nal

iden

tity

Alb

ert

and

Whet

ten

(198

5)

Ash

fort

han

dM

ael

(198

9)

Dutt

onet

al

(199

4)H

atch

and

Sch

ult

z(1

997)

W

het

ten

and

God

frey

(199

8)

(a)

Akey

elem

ent

giv

ing

busi

nes

sid

enti

tyit

sdis

tinct

iven

ess

(vid

esu

pra

plusmnco

rpor

ate

iden

tity

and

vide

infr

aplusmn

corp

orat

eper

sonal

ity)

(b)

Ref

ers

tow

hat

emplo

yee

sfe

elan

dth

ink

abou

tth

eir

organ

isat

ionF

ocuse

son

ques

tion

sre

lati

ng

toor

gan

isat

ional

cult

ure

A

lber

tan

dW

het

tenrsquos

infl

uen

tial

def

init

ion

ofor

gan

isat

ional

iden

tity

refe

rsto

thos

ech

arac

teri

stic

sof

anor

gan

isat

ion

whic

har

ece

ntr

alen

duri

ng

and

dis

tinct

ive

How

ever

th

ere

ishea

ted

deb

ate

amon

gst

organ

isat

ional

beh

avio

uri

sts

regar

din

gA

lber

tan

dW

het

tenrsquos

cate

gor

isat

ion

ofor

gan

isat

ional

iden

tity

R

elat

ionsh

ipw

ith

corp

orat

eid

enti

tyis

beg

innin

gto

be

explo

red

but

the

mar

ket

ing

per

spec

tive

espec

ially

from

the

Com

mon

wea

lth

and

Euro

pe

has

mad

elitt

lein

the

way

ofin

road

sw

ith

Nor

ther

nA

mer

ican

schol

ars

Appea

rsto

hav

em

any

sim

ilar

char

acte

rist

ics

wit

hth

eco

nce

pt

ofco

rpor

ate

per

sonal

ity

and

wit

hco

rpor

ate

cult

ure

(cf

Fio

let

al

(199

9)vi

de

infr

a

Itsh

ould

be

bor

ne

inm

ind

that

cult

ure

isso

met

imes

vie

wed

asa

var

iable

inco

rpor

ate

iden

tity

form

atio

n

(con

tinued

)

Corporate identitybranding and

marketing

255

Table II

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Vis

ual

iden

tity

Bal

mer

(199

5)B

aker

and

Bal

mer

(199

7)

Chaj

etet

al

(199

3)

Dow

ling

(199

4)

Hen

rion

and

Par

kin

(196

7)M

elew

aran

dSau

nder

s(1

998

1999

)N

apol

es(1

988)

O

lins

(197

819

79)

Pildit

ch(1

971)

Je

nkin

s(1

991)

Sel

ame

and

Sel

ame

(197

5)

Sim

pso

n(1

979)

Ste

war

t(1

991)

(a)

One

mea

ns

by

whic

ha

busi

nes

sid

enti

tym

aybe

know

nor

in

dee

d

dis

guis

ed

An

audit

ofan

organ

isat

ionrsquos

sym

bol

ism

can

also

hel

pin

giv

ing

insi

ghts

into

anor

gan

isat

ionrsquos

corp

orat

eid

enti

tyo

rgan

isat

ional

iden

tity

T

he

mos

tpro

min

ent

aspec

tof

abusi

nes

sid

enti

tych

ange

pro

gra

mm

eT

he

only

par

tof

abusi

nes

sid

enti

tyw

hic

hca

nbe

effe

ctiv

ely

contr

olle

dby

senio

rm

anag

emen

t(b

)B

alm

errsquos

anal

ysi

sof

the

lite

ratu

rere

vea

led

that

auth

ors

ascr

ibe

four

funct

ions

tovis

ual

iden

tity

inth

atit

is(i)

use

dto

signal

chan

ge

inco

rpor

ate

stra

tegy(ii)

cult

ure

an

d(iii)

com

munic

atio

nSom

etim

esch

anges

are

under

taken

inor

der

toac

com

mod

ate

(iv)

chan

ges

infa

shio

nw

ith

regar

dto

gra

phic

des

ignO

linsrsquo

use

ful

cate

gor

isat

ion

ofvis

ual

iden

tity

into

mon

olit

hic

en

dor

sed

and

bra

nded

cate

gor

ies

has

bee

nw

idel

yad

opte

din

the

lite

ratu

reev

enth

oughas

Olins

adm

its

itra

rely

refl

ects

organ

isat

ional

real

ity

Cor

por

ate

imag

eA

bra

tt(1

989)

B

ernst

ein

(198

4)

Bro

wn

(199

8)

Bri

stol

(196

0)B

oors

ein

(196

1)

Bou

ldin

g(1

956)

B

udd

(196

9)C

raven

(198

6)

Dow

ling

(198

6)G

ray

(198

6)

Gra

yan

dSm

elze

r(1

985)

G

ray

and

Bal

mer

(199

8)G

runig

(199

3)K

enned

y(1

997)

L

indquis

t(1

974)

M

arti

nea

u(1

958)

Spec

tor

(196

1)V

anH

eerd

enan

dP

uth

(199

5)

Van

Rie

l(1

995)

W

orce

ster

(198

619

97)

(a)

One

ofth

ees

pou

sed

obje

ctiv

esof

effe

ctiv

ely

(or

non

-eff

ecti

vel

y)

man

agin

ga

busi

nes

sid

enti

tyie

th

ecr

eati

onof

apos

itiv

e(o

rneg

ativ

e)im

age

(b)

Ther

ear

eth

ree

bro

ad

dis

ciplinar

yap

pro

aches

toco

rpor

ate

imag

edra

wn

from

psy

chol

ogygra

phic

des

ign

and

from

public

rela

tion

sse

eB

row

n(1

998)

and

Bal

mer

(199

8)T

he

conce

pt

isim

por

tant

but

ispro

ble

mat

icdue

toth

em

ult

iplici

tyof

inte

rpre

tati

ons

and

neg

ativ

eas

soci

atio

ns

Ques

tion

sre

lati

ng

toit

s`m

anag

emen

trsquorsquoar

ein

her

entl

ypro

ble

mat

icC

once

pt

has

larg

ely

bee

nec

lipse

dby

that

ofth

eco

rpor

ate

reputa

tion

bot

hin

the

lite

ratu

rean

din

man

agem

ent

par

lance

V

ide

infr

a

(conti

nued

)

EuropeanJournal ofMarketing3534

256

Table II

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Cor

por

ate

per

sonal

ity

Abra

tt(1

989)

B

alm

eran

dW

ilso

n(1

998)

B

irkig

tan

dSta

dle

r(1

986)

L

ux

(198

6)

Olins

(197

8)V

anR

iel

and

Bal

mer

(199

7)

(a)

Akey

elem

ent

whic

hgiv

esa

busi

nes

sid

enti

tyit

sdis

tinct

iven

ess

and

rela

tes

toth

eat

titu

des

and

bel

iefs

ofth

ose

wit

hin

the

organ

isat

ion

Ther

efor

eth

ere

appea

rsto

be

apri

me

faci

eca

sefo

rlinkin

gth

eco

nce

pt

toor

gan

isat

ional

iden

tity

and

toth

eco

nce

pt

ofco

rpor

ate

cult

ure

V

ide

supra

(b

)O

lins

pos

tula

ted

that

anor

gan

isat

ionrsquos

cult

ure

invar

iably

dev

elop

sar

ound

the

organ

isat

ionrsquos

founder

and

afte

rth

efo

under

rsquosdep

artu

rere

quir

esm

anag

emen

tat

tenti

onin

order

tofi

llw

hat

the

auth

orca

lls

`the

per

sonal

ity

def

icit

rsquorsquoA

uth

ors

who

refe

rto

the

conce

pt

inth

eir

wri

ting

orm

odel

spla

ceth

eco

nce

pt

per

sonal

ity

atth

ece

ntr

eof

busi

nes

sid

enti

ty

The

BB

Cst

udy

under

taken

by

Bal

mer

lead

sto

the

concl

usi

onth

atth

eco

rpor

ate

per

sonal

ity

refe

rsto

the

mix

ofco

rpor

ate

pro

fess

ional

re

gio

nal

and

other

sub-c

ult

ure

sin

organ

isat

ions

and

that

this

`cult

ura

lm

ixrsquorsquo

isa

key

elem

ent

ingiv

ing

dis

tinct

iven

ess

tobusi

nes

sid

enti

ties

C

lear

links

wit

hth

e`d

iffe

renti

atio

npar

adig

mof

cult

ura

lst

udie

srsquorsquo

Org

anis

atio

nal

iden

tifi

cati

onis

per

hap

sa

pre

fera

ble

conce

pt

inlight

ofth

edif

ficu

ltie

sas

soci

ated

wit

hth

enot

ion

that

organ

isat

ions

hav

ea

per

sonal

ity

inth

esa

me

way

that

hum

ans

do

This

conce

pt

has

also

suff

ered

asa

conse

quen

ceof

the

vag

arie

sof

fash

ion

Cor

por

ate

reputa

tion

Bro

mle

y(1

993)

C

aruan

aan

dC

hir

cop

(200

0)

Fom

bru

n(1

996)

F

ombru

nan

dV

anR

iel

(199

7)G

ray

and

Bal

mer

(199

8)

Gre

yse

r(1

999)

Sob

olan

dF

arre

ll(1

988)

W

eigel

tan

dC

amer

er(1

988)

(a)

One

obje

ctiv

eof

effe

ctiv

ebusi

nes

sid

enti

tym

anag

emen

tis

the

acquis

itio

nof

afa

vou

rable

reputa

tion

amon

gkey

stak

ehol

der

gro

ups

This

isbel

ieved

togiv

eth

eor

gan

isat

ion

aco

mpet

itiv

ead

van

tage

(b)

Fom

bru

nan

dV

anR

iel

pro

vid

esi

xca

tegor

isat

ions

ofco

rpor

ate

reputa

tion

sre

flec

ting

the

six

dis

tinct

lite

ratu

res

onth

ear

eaw

hic

hvar

iousl

yfo

cus

onit

sfi

nan

cial

wor

th

its

trai

tsan

do

rsi

gnal

sit

sfo

rmat

ion

reputa

tion

alex

pec

tati

ons

and

nor

ms

and

onre

puta

tion

alas

sets

and

mob

ilit

ybar

rier

s

Corporate identitybranding and

marketing

257

Table IIIThe saliency of

identity and relatedconcepts in addressing

major organisationalconcerns

Concept Addresses key question Commentsexplanations

Corporate identity What are we Also involves addressing a series ofquestions including What is ourbusinessstructurestrategyethosmarketperformancehistory andreputationrelationships to otheridentities

Organisationalidentity (corporatepersonality)a

Who are we The mix of dominantascendantsubcultures withintranscending theorganisation Employeesrsquo relationshipswith myriad organisational identities(holding company subsidiaryiesdepartments original current andemergent identities) Professionalcultural industrial sexual identitiesetc

Visual identity (visualidentificationsystem)

What are theorganizationrsquos symbolsand system ofidentification

Do the organisationrsquos visual (and verbal)cues communicate whatwho we areWhatwho we were Whatwho wewish to be A mix of the above Isthere clarity or confusion Does itreflect or possibly inform currentstrategy

Corporatecommunication

Is there integratedcommunication

In relation to management organisationaland marketing communications Arethey integrated in terms ofmanagement philosophy and process

Total corporatecommunications

Is there congruency revertical and horizontalcommunication

Vertical between corporatecommunication corporate actionsperformance and behaviours andbetween third partiesHorizontal asabove but also congruency over time

Corporate image What is the currentperception andorprofile

In relation to the immediate mentalperception of the organisation held byan individual group or network

Corporate reputation What distinctiveattributes (if any) areassigned to theorganisation

The enduring perception held of anorganisation by an individual group ornetwork

Corporate brand What is the promiseinferred fromcommunicated by thebrand

Are these inferences accurate reflected inreality (the promiseperformance gap)shown in management commitment andunderpinnedmade explicit by effectivecommunications Vida supra

Note aThe traditional andor preferred marketing description

EuropeanJournal ofMarketing3534

258

author of this article calls ` the personality deficitrsquorsquo) Over time it is the mix ofsubcultures (corporate professional national etc) present within theorganisation that fills this void and gives it a collective personality albeit apersonality of many different elements (cf Balmer and Wilson 1998)

As Gioia (1998) noted

Like individuals organisations can be viewed as subsuming a multiplicity of identities eachof which is appropriate for a given context or audience Actually at the organisation level thenotion of the multiple identities is perhaps the key (if subtle) point of difference betweenindividuals and organisations

He continued

Thus organisations can plausibly present a complicated multifaceted identity eachcomponent of which is relevant to specific domains or constituents without appearinghopelessly fragmented or ludicrously schizophrenic as an individual might

The notion of multiple identities will be further explored in the 15th reason forthe fog

Second reason for the fog the existence of different paradigmatic viewsvis-aAacute-vis business identityrsquos raison drsquoeAtildetreThere are three distinct perspectives on how the business identity conceptshould be defined and explored The three perspectives are functionalistinterpretative and post-modern Gioia (1998) expounded the nature of thedebate taking place in each of these philosophical schools with regard toorganisational identity Here the modus vivendi is to uncover why and howemployees think and act in relation to their employerorganisation Theseparadigms also inform thought within other fields of business identity and ofcourse management studies generally

The functionalist lens regards business identity as a social fact Consequentlya business identity can be observed moulded and managed The key researchissues centre on uncovering describing and measuring a business identityObservation and psychometric instruments are the preferred research tools

The second paradigm embracing the interpretative perspective has as itsmain focus the understanding of how employees construct meaningsregarding who they are within an organisational environment Businessidentity is viewed as a socially constructed phenomenon with employeesseeking to give some level of meaning to their work existence The researchfocus is to uncover the meanings employees attach to their organisation Thestudy of organisational symbols underlines the methodical approach of thisparadigm

The final component of the troika of perspectives the post-modernparadigm seeks to disclose power-relationships regarding business identityThe emphasis focuses on complexity rather than on simplicity Businessidentity is regarded as a collection of transcendatory perspectives about howorganisational members view themselves Provocation and reflexivity

Corporate identitybranding and

marketing

259

characterise the research process The main research tools are language anddiscourse While such schools may appear to be irreconcilable as Gioia (1998)observes they do give richness to the general understanding of the businessidentity concept as do other perspectives in this nascent area This is a keyleitmotif of this article and the author argues should characterise emerginguacuteuvre pertaining to business identity studies

Third reason for the fog multifarious disciplinary perspectives re business identityThe literatures pertaining to business identity and particularly to corporateidentity organisational identity and visual identification reveal a plethora ofperspectives with regard to first the scope of the various identity conceptsregarding various management disciplines and second the shiftingperspectives relating to the relationships between the three identity conceptsFigure 1 shows the various relationships that have been postulated in theliterature This illustrates the huge disparity between the nature and roAtildele ofidentity studies On closer examination it becomes apparent that some of thenarrower perspectives relate to what is more appropriately called visualidentity The final interdisciplinary approach represents the authorrsquos view thatbusiness identity studies will form the keystone of corporate marketingTaking up the metaphor of the silver lining outlined in the opening paragraphof this article it becomes apparent that while there has been a traditional lackof agreement on the nature and roAtildeles of identity Figure 1 does show that the(business) identity is an omnipresent concept across a whole spectrum ofmanagement and marketing areas

Fourth explanation for the fog a failure to make a distinction between theelements comprising a business identity and the elements to be considered inmanaging a business identityIt should be borne in mind that business identity in its various facets may beseen as concept philosophy and as a process Concept and philosophy will bediscussed in this section and the process will be examined under the fifthexplanation

The literature reveals a lack of consensus as to the elements which constitutea business identity (the business identity mix) as well as a failure to distinguishbetween the elements of the corporate identity management mix

The approach taken by Balmer and Soenen (1999) appears to be the first tomake a clear distinction between first the elements comprising a businessidentity and second the elements required of its management This businessidentity mix embraces a triumvirate of elements termed

(1) the soul (the subjective elements of business identity including thevalues held by personnel which find expression in the plethora ofsub-cultures and the mix of identity types present within organisations)

(2) the mind (the conscious decisions made by the organisation vis-aAacute -vis theespoused organisational ethos vision strategy and productperformance) and

EuropeanJournal ofMarketing3534

260

(3) the voice (this encompasses the multi-faceted way in whichorganisations communicate internally and externally to stakeholdergroups and networks and which is normally called ` total corporatecommunicationsrsquorsquo viz Balmer and Gray (1999)

Figure 1The evolvingrelationships betweencorporate identity andother conceptsdisciplines

Corporate identitybranding and

marketing

261

An additional trio of elements melding with the above form what Balmer andSoenen call the business identity management mix

The additional elements of Balmer and Soenenrsquos identity management mixare environmental forces (the need to take cognisance of this) stakeholders (theneed to be aware of stakeholders) and reputations (encompassing thereputation of the holding company its subsidiaries and business units thecountry-of-origin and the organisationrsquos partners such as alliance partners)

Mention may be made of those other authors who have attempted toarticulate the elements of a business identity These include Birkigt and Stadler(1986) the Mitsubishi Model of Japan (nd) and those by Schmidt (1995) andSteidl and Emory (1997)

Birkigt and Stadlerrsquos (1986) identity mix which is assigned a good deal ofimportance in Van Rielrsquos text (1995) and in a good deal of the subsequentliterature consists of a quartet of elements

(1) personality

(2) behaviour

(3) communication and

(4) symbolism

It would appear that this mix articulates the elements by which a businessidentity is known The mix emphasises the communications effect(s) of anorganisationrsquos behaviour communication policies and visual symbolism Themix is useful in revealing some of the major channels by which a businessidentity may be known and represents a distinct shift away from acategorisation of corporate identity in purely visual terms However incomparison to other more recent approaches it is somewhat narrow in scope

The primary objective of the Mitsubishi mix (nd) is to reveal those elementsthat constitute a business identity As with Balmer and Soenenrsquos (1999) mixthis approach draws on a trio of elements It is clear that a certain lineage maybe inferred between the English and Japanese approaches The Mitsubishi mixis segmented into what is called the mind identity (what the organisation isstriving to achieve) the strategic identity (the type of strategy which will causethe mind identity to become a reality) and the behaviour identity (the range andtypes of behaviour undertaken by the organisation)

Schmidtrsquos (1995) mix originating from the London-based Anglo-Germanconsultancy Henrion Ludlow and Schmidt comprises a quintet of elements

(1) corporate culture

(2) corporate behaviour

(3) market condition and strategies

(4) product and services and

(5) communication and design

EuropeanJournal ofMarketing3534

262

this clearly suggests it is a mix focusing on the management of businessidentity As such the mix takes cognisance of how an identity is revealed(through communications and design) but also assigns importance to marketconditions

Steidl and Emory (1997) have produced what is clearly a business identityrather than a business identity management mix As with Balmer and Soenen itwould appear that these two writers have been in part influenced by SinoNippon approaches to business identity and this is reflected in their choice ofterminology This Australian model is built around another trio of elementsthe mind (the philosophy and strategy through which the organisation securesthe support of customers) the spirit (the values of the organisation and theresponse this evokes amongst key stakeholder groups) and the body (the totalphysical infrastructure which is required to operate the business) Of note hereis the emphasis accorded to ` the bodyrsquorsquo which is not encompassed by the othermodels Rather surprisingly ` the bodyrsquorsquo does not encompass organisationalstructure Thus the author is of the view that a broader interpretationencompassing company structure would appear to be appropriate Theimportance of structure is similarly noted by Balmer and Gray (1999) Ind(1996) Morison (1997) and Stuart (1998a 1999b) The authorrsquos new identitymixes taking cognisance of the above comprises four elements and this isillustrated in Figure 2

Unlike the approaches used by Balmer and Soenen Schmidt and Steidl andEmory it has been decided to break with (at least from a British NorthAmerican and Commonwealth perspective) the practitioner legacy which usesthe human metaphor The four elements comprising this new mix are strategystructure communication and culture

The need to make a distinction between the variables comprising a businessidentity and the task elements to be considered with regard to the managementof a business identity mix is deserving of more attention by both scholars andpractitioners than has been the case to date

The implications of the authorrsquos new mix and those of many of other mixesis that researching a business identity involves using Gioiarsquos (1998 p 26)classification plusmn marrying the interpretive lens (with regard to understandingpersonnelrsquos various affinities to different identities) with the functionalist lens(with regard to the above parts of the mix) Consequently what is required is afurther breaking down of boundaries between research paradigms Thisprocess has implications not only for identity scholarship but also for identityconsultancy and management

Fifth explanation for the fog disagreement with regard to the objectives ofbusiness identity managementThe literature reveals a wide variety of purposes and objectives associated withbusiness identity management Balmerrsquos (1995) initial literature review

Corporate identitybranding and

marketing

263

revealed that corporate identity change programmes were variously used as avehicle to assist in

strategy formulation

culture-change

effective corporate communication

articulating a corporate strategy

articulatingchanging the organisationrsquos culture

acting as a platform for corporate communications and

ensuring that the organisationrsquos visual identity is fashionable

This is indicative of the multidisciplinary nature of the domain with the type ofidentity change reflecting the aspects of the organisationrsquos identity that requireattention

Significantly the effective management of a business identity has beenregarded as imbuing an organisation with a favourable image (cf Abratt 1989

Figure 2Balmerrsquos new identity

mix and identitymanagement mix

EuropeanJournal ofMarketing3534

264

Balmer 1995 Birkigt and Stadler 1986 Dowling 1994 Steidl and Emory 1997Tyrrell 1995 Van Rekom 1997) and more recently the acquisition of afavourable corporate reputation coupled with business survival andprofitability (Balmer and Stotvig 1997 Van Riel and Balmer 1997 Gray andBalmer 1998) The objective of acquiring a favourable corporate image hasfallen out of favour since the concept of the corporate image is fraught withdifficulty (Balmer 1998) The acquisition of a corporate brand on the otherhand has been identified as an objective of corporate identity management(Balmer 1999a) The ICIG statement reproduced in Appendix 1 cites a numberof possible objectives in relation to corporate identity management namely

fostering a sense of individuality

achieving differentiation in a competitive environment

providing disciplinary integration

providing a platform for coherent corporate communication

nurturing an image that is consistent with the organisationrsquos definingethos and character

nurturing understanding and commitment among stakeholders

attracting and retaining customers and employees

achieving strategic alliances and

gaining support of financial markets

Sixth explanation of the fog a traditional lack of dialogue between Anglophoneand non-Anglophone scholars and writersIn addition to the lack of dialogue between scholars from different disciplines anotable feature of the literature on business identity is how linguistic andcultural barriers have exerted an influence in the general understanding of thearea The most dramatic divide is between Anglophone and non-Anglophonenations For instance the literature on business identity emerging frommainland Europe appears to have developed quite independently from theNorth American literature and also from that of the UK and the old (British)Commonwealth and vice versa An example of this is the French school ofthought on corporate identity (Moingeon and Ramanantsoa 1997) TheNetherlands appears to be the exception to the rule owing to the linguisticdexterity of the peoples of that kingdom This can be seen in Van Rielrsquos (1995)influential text Principles of Corporate Communication which contains averitable cornucopia of international sources

Further afield questions of language have hindered our understanding ofSino and Japanese approaches to the area The current understanding ofbusiness identity in `Westernrsquorsquo nations might need to undertake a furtherradical reappraisal in order to accommodate what appear to be substantivedifferences of approach between ` Westernrsquorsquo and ` Asianrsquorsquo scholars of businessidentity Reference has already been made to the Mitsubishi mix According to

Corporate identitybranding and

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265

Steidl and Emory (1997 pp 4-5) the Japanese approach to business identityadopts a radically different manner from that found in other nations They referto Motoo Nakanishi the chairman of one of Japanrsquos foremost businessconsultancies who states that Japanese business identity change programmesare characterised by their longevity in planning and implementation and thatthey are also dependent upon the CEO championing such a change In contrastNakanishi comments that US identity change programmes reflect the characterof the CEO to a greater extent than Asian approaches are similar to Japaneseprogrammes in their reliance on the CEO for their success are more project-orientated and are short-term in scope For their part Johansson and Hirano(1999) point out that in Asia there is a higher degree of parallelism betweenindividual and corporate objectives than in the West cf Balmer and Wilson(1998)

Seventh explanation for the fog the traditional lack of dialogue betweenresearchers from different disciplinesThe business identity literatures encompass distinctive and not so distinctiveschools of thought business communications and corporate communications(Cheney and Christensen 1999 Van Riel 1995) graphic design (Olins 1995Schmidt 1995) image and image-research (Brown 1998 Barich and Kotler1991 Worcester 19861997) marketing (Abratt 1989) organisationalbehaviour (Albert and Whetten 1985 Mael and Ashforth 1992) publicrelations (Grunig 1993) psychology (Bromley 1993) reputation (Fombrun1996) and strategy (Gray and Smeltzer 1985 Marwick and Fill 1997 Morison1997) A multi-disciplinary approach is adopted by Balmer (1995 1998) with astrong marketingcommunications emphasis

Despite the wealth of disciplines the degree of cross fertilisation of ideas andinsights from these literatures is comparatively slight It would appear thatbusiness identity issues have to a large degree matured along narrow verticaland disciplinary paradigms There has been little in the way of multi-disciplinary holistic development This may be placed in the context of thevarious business identity mixes articulated by Balmer and Soenen (1997)Birkigt and Stadler (1986) Schmidt (1995) and Steidl and Emory (1997) thatclearly demand that a broad multi-disciplinary approach be adopted

Mention may also be made of Whetten and Godfreyrsquos (1998) book Identity inOrganisations where academics from a number of disciplines discuss variousfacets of the business identity world However there is a paucity of materialemanating from British Commonwealth and European sources in this text andfor the main little from the marketing literature is marshalled This may becontrasted with the recent marketing literature where organisationalbehaviourists for instance have made a significant contribution

Eighth explanation for the fog the association with graphic designThe importance accorded to graphic design in the business identity literaturehas exacerbated the confusion surrounding the area and may in retrospect be

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seen to have exerted a deleterious influence regarding the conceptualisation ofidentity In the past this has led to the business identity domain being narrowlyconceived Some writers with backgrounds in marketing and communicationhave accorded symbolism the same importance as other business identityelements such as behaviour and communication viz Birkigt and Stadler (1986)The emphasis accorded to graphic design in business identity studies has beenperpetuated by many so-called corporate identity consultancies who are to allintents and purposes graphic design consultancies Research undertaken byMORI revealed that significant numbers of managers in UK and Europe stillequate UK-based corporate identity with graphic design (cf Schmidt 1995)Such has been the influence of graphic design that it has almost becomeaxiomatic that any change of business identity will have an attendant changeof visual identity The author has not to date discovered a case where acorporate identity consultancy advising a client during a business identitychange programme has not as a minimum tweaked the corporate logo This isa curious state of affairs and again raises some profound questions Wolff Olins(Europersquos largest corporate identity consultancy) in their ` Guide to corporateidentityrsquorsquo produced for the UK weekly magazine Marketing (1990 pp 19-24)made this very point

Because of corporate identityrsquos roots in design it will probably entail a new or revised logodesign

With the passing of ten years little appears to have altered For instance themajority of personnel employed by corporate identity consultancies tend tohave a background in graphic design The author is of the view that thegraphic design emphasis ascribed to business identity has thrown the area outof kilter This has had the unfortunate effect of stifling a broader moresophisticated and scholarly appreciation of business identity The distinctcorporate identity and organisational identity literatures although somewhatparvenu in relation to the visual identity literature have without doubt made aprofound contribution to the general understanding of business identity overrecent years What is required is for a more balanced appraisal to take place vis-aAacute -vis the power of visual identity and of graphic design in what is starting to beknown as the corporate identity mixbusiness identity mix What is not refutedby the author is that visual identification does unquestionably have powerVan Riel (1995) pointed out the wide impact of visual communication when hewrote that the average lorry is capable of delivering 7-9 million visualimpressions per year or about 60 per kilometre Empirical work undertaken byMelewar and Saunders (1998) revealed the benefit of standardised globalcorporate visual identity systems Furthermore the use of what is known as` the visual auditrsquorsquo (an examination of the organisationrsquos symbolism and brandstructure) has been shown to be a most effective initial means ofcomprehending an organisationrsquos cultures power-base strategies andcommunication As such the visual audit may provide useful insights into anorganisationrsquos identity

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267

However whereas a visual audit may reveal symptoms of inherent corporatemalaise many organisations fall into the trap of resorting to the initiation of anew visual identity as a means of correcting what can be profoundorganisational difficulties This may suggest a degree of naivety on the part ofsome senior managers and consultancies in failing to differentiate between thecauses and the symptoms (visual-identity) of a weak inconsistent negative orunwanted business identity As a result of this approach a number of authorstend to define corporate identity in prosaic terms namely ` what anorganisation isrsquorsquo While inadequate as a definition it does help to distance thearea from the narrow graphic design perspective

The emphasis on the visual has had another unfortunate effect in cloudingover the importance of the other senses of sound scent taste and touch Itwould be perverse to suggest that visually impaired customers employees orinvestors are unable to recognise differentiate between or form opinions oforganisations Upon reflection it becomes apparent that the non-visual sensescan be just as powerful in communicating the identity of a collective group Forexample the aural sense has a dominant role in the recognition of the identitiesof radio stations The aural sense also helps to differentiate one nation statefrom another via the use of languages and national anthems Important lessonscan in this regard be learned from ancient institutions such as the CatholicChurch which marshals all the senses to forge an impressive panoply ofsignals to support the Catholic Churchrsquos tenets and beliefs Although theCatholic Church has in recent years offered a somewhat flaccid version of itsidentity it is still possible to experience the effect of marshalling of all thesenses in an experience which is unique to the Catholic faith Thus at atraditional solemn celebration of the liturgy at Londonrsquos Brompton Oratorythe churchrsquos distinctiveness is communicated through among otherssymbolism (vestments church furnishings architecture posture of clergy andlaity) sound (Latin Gregorian chant and polyphony) smell (incense) touch(holy water) and taste (taking the sacrament)

Ninth explanation for the fog the effect of fashionVagaries in fashion in the use of concepts have played their part in thickeningthe fog surrounding the area A would-be scholar of business identity studieshas to show a good deal of perspicacity not only in accommodating the richvariety of concepts in use but also in exerting acute vigilance in theirassessment of what he or she understands by the concept The effects offashion can clearly be seen in the 1950s and 1960s when much attention wasfocused on the concept of the ` corporate imagersquorsquo Yet in the 1970s ` corporateidentityrsquorsquo grew in popularity and to some degree was used in preference to` corporate imagersquorsquo The corporate identityconcept was not only used as asurrogate for ` image managementrsquorsquo but has been viewed by some authors suchas Dowling (1994) as being fundamentally concerned with visual identityOthers saw the concept as embracing the distinct characteristics of anorganisation (Van Riel and Balmer 1997) In recent years reference to the

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268

` corporate brandrsquorsquo or what is sometimes termed ` service brandingrsquorsquo (cf Balmer1995 De Chernatony 1999) has replaced reference to ` corporate identityrsquorsquo Ofparticular note is corporate reputation which as a concept has been in theascendant over recent years and has almost eclipsed references to the corporateimage in the literature and in management parlance What is apparent is thattoo many practitioners and some scholars have tended to regard the emergenceof a new concept as a replacement to what has gone before rather thanconsidering each new concept for its potential in building on what preceded itand furthering therefore the general understanding of the creationmanagement and saliency of business identity

Tenth explanation for the fog the inappropriateness of the positivistic researchparadigm in the initial stage of theory generation vis-aAacute-vis identityUndue attention has been given to measuring the outcomes and benefits ofeffective business identity management Providing a firm foundation regardingthe nature andor driving forces of business identity will do much to lift the fogsurrounding the area In this regard the research paradigm of naturalism isperhaps more appropriate than positivism in explaining a phenomenon such ascorporate identity which has not previously been subjected to a great deal ofempirical research viz Van Mannen (1985) Case studies can also be usefulwith regard to theory building research in the field of corporate identity Oliver(1997) argued the importance of case study research albeit in relation tocorporate communication and stated that formal theories do develop from casestudies Oliver is supported in her view by others including Gill and Johnson(1991) and Yin (1984)

While some caution needs to be applied to the maxim found in VirgilrsquosAeneid ` ab uno disce omnesrsquorsquo (from one learn all) it would perhaps be equallyperverse to suggest the opposite that nothing is gained from the findings ofcase studies This is after all the modus operandi underpinning HarvardBusiness Schoolrsquos pedagogical approach

Deshpande (1983) notes that quantitative methods are more suitable fortheory testing than theory generation Vankatesh (1985 p 62) commented thatthe emphasis on empirical research data analysis and quantitative modellingoffers little potential for theory generation As such the author argues thatmarketing scholars should give a greater emphasis to qualitative and casestudy research

Eleventh explanation for the fog the paucity of empirical academic researchThree reasons are postulated by the writer as to why there has been a lack ofpublished empirical research

(1) Until recently the traditional lack of interest from all but a fewmanagement academics

(2) The difficulty in getting published in mainstream management journals

(3) The difficulty in undertaking research into corporate identity

Corporate identitybranding and

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269

Invariably business identity issues encompass issues that are of particularsensitivity and have fundamental importance to organisations and their seniormanagement Therefore researchers are likely to experience acute difficulty inresearching changes of business identity which probe into the quintessence ofan organisationrsquos existence and which can propel to the fore issues of greatsensitivity and political importance In addition new scholars are likely to havethe wherewithall to extrapolate data and disseminate their findings throughlearned journals

Although this traditionally has been the case it is difficult to say whetherthis is a cause or effect vis-aAacute -vis points (1) to (3) Perhaps all elements have madea contribution What is encouraging is that more scholars are embarking onresearch into this business identity and this is represented in the burgeoningnumber of candidates embarking upon doctoral research in corporate identitySignificant empirical research to date includes that by Balmer and Wilson(1998) relating to the BBC and a major UK high street bank Dutton andDukerichrsquos (1991) research on the New York port authority Elsbach andKramerrsquos (1996) research in US universities Gioia and Thomasrsquos (1996)investigation relating to universities and Van Rekomrsquos (1997) study focusing ona sector of the Dutch tourism industry

Twelfth explanation for the fog undue focus being accorded to the businessidentities of holding companiesparent organisationsThe literature reveals a bias towards the identities of holding or parentcompanies with insufficient attention being given to the identities ofsubsidiaries as well as to industrial identities alliances licensing arrangementsand to federal types of organisational structures An exception to the latter wasBalmerrsquos (1996) research which focused on BBC Scotland plusmn a subsidiary of theBBC The emphasis accorded to the identities of parent organisations hasperhaps resulted in a far too simplistic categorisation regarding therelationship between subsidiaries business units and the holding companyThis can be seen in Olinsrsquos (1978) highly influential tripartite categorisation ofbusiness identities which he calls monolithic endorsed and brandedAlthough this is a useful basic classification it disguises the fact that parent-subsidiary relationships are invariably more complicated as evinced byKammerer (1989) Furthermore insufficient attention is given to the industry-wide generic identities with the exception of Balmer and Wilkinson (1991) andWilkinson and Balmer (1996)

Upon reflection there are other identity types such as the identity ofalliances including the ` Starrsquorsquo ` One Worldrsquorsquo and ` Wingsrsquorsquo airline alliances theidentity of consortiums such as the European Airbus and the sharing of abrand name by several important companies Examples include the Hiltonbrand name which is shared by Hilton Hotel of the USA and Ladbrokes of theUK the Rolls-Royce brand licensed to car manufacturers VWBMW(Germany) by the UK aero-engines group Rolls-Royce the multiplicity ofidentities subsumed beneath the umbrella of the Virgin brand and the Co-op

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270

brand in the UK which serves as an umbrella brand for its labyrinthicorganisational structure The simplistic approach to organisational structureand strategy outlined above and the graphic design bias has in the authorrsquosopinion served to obfuscate business identityrsquos palpable affinity with corporatestrategy

Thirteenth explanation for the fog the emphasis assigned to Anglo-Saxonforms of business structuresFor the main the various literatures of business identity focus on Anglo-Saxonforms of business identity which is characterised by short termism and whereshareholders are accorded particular importance Little has appeared inEuropean journals with regard to non Anglo-Saxon forms of businessidentities As such it would appear that undue emphasis is accorded to verticalrather than to horizontal organisational structures

There is prima facie case to suggest that existing Anglo-Saxon theories ofbusiness identity are inappropriate to certain organisational structuresoperating in other countries due to cultural and economic reasons This canperhaps be most clearly seen in Japan and Korea The traditional Japanesekeiretsu structure which encompasses well known brand names such asMitsubishi Mitsui and Sumitomo differ from their Anglo-Saxon counterpartsin that they invariably include financial services companies that can providefinance to other members of the keiretsu Typically each keiretsu structurecontains

a commercial bank a trust bank and a life insurance company

each group contains a trading company which supports other membersof the group through the provision of such things as intelligence andproject management

there is cross-shareholdings of such groups which makes it difficult fora member of the group to be threatened with an aggressive take-over

in times of crisis members of the kieretsu group will provide supportfinancial or service to the beleaguered company and finally

there is a leading group of companies

The Korean chaebol structure is similar to the Japanese keiretsu structure withthe exception that first members of the founding family still in some instancesmanage the company and second the chaebol does not contain powerfulfinancial institutions or trading companies

What is clear from the above illustration is that Eastern businessrelationships are more complicated than those witnessed in many Anglo-Saxoncompanies that the visualbranding structure is invariably applied to a familyof more or less autonomous companies rather than to a single commercialconcern that the notion of internal communications takes on a particularlyimportant role vis-aAacute -vis communication between members of the kieretsuchaebol and that the external communication is more complicated This is

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271

because each company of the group not only needs to support its own corporatecommunication efforts and reputation but also that of the group Here thegrouprsquos reputation will appear to act as a powerful control mechanismBalmerrsquos (1998) DEAR Model (Decisions are Evaluated Against theorganisationrsquosgrouprsquos Reputation) may be of use in this regard

It is important to recall that there are other forms of organisational structureoperating in the West other than Anglo-Saxon structures One approachprevalent in southern Europe and termed ` the Latin approachrsquorsquo is according toCova and Aubert-Gamet (1997) based on the view that marketing institutionsare less effective than proximate communities influencing peoplesrsquo behaviourCova coined the term ` societingrsquorsquo to encapsulate this approach A case in pointis the Rhine model of organisations which for obvious reasons is prevalent inthose nations bordering the Rhine Here there are flatter more community-focused structures

In Germany businesses are not dominated by big brand names In a 1989survey for Business Week Germany accounted for only 3 per cent of the worldrsquos1000 largest companies Germanyrsquos strength (and also that of Northern Italy)rests in its Mittelstand These are small to medium-sized family businesses InGermany the characteristics of such companies are

family owned

financiers or investors are not owners or controllers of the companies

the objective is long term survival and

stakeholdersrsquo groupings cannot so easily be broken down into internaland external stakeholders

Interestingly concern is shown to stakeholders of the future Table IV providesa summation of the Anglo-Saxon and the Rhine and Asian approaches

Fourteenth explanation of the fog weaknesses in early traditional marketingmodels of corporate identitycorporate image management and formationThe fourteenth weakness identified by the writer is the weaknesses in many ofthe more influential conceptual models of corporate imageidentityreputationformation (Abratt 1989 Dowling 1986 1993 and Kennedy 1977) It wouldappear that in some of these models the writers confuse corporate identity withcorporate image While the writer is critical of some of the models each of themmakes a valuable contribution to the debate on the area Certainly several ofthese models were at the cutting edge of the debate on the area at the time theywere published These four models will be examined in turn

Abrattrsquos model (1989)Abrattrsquos conceptual and prescriptive model has the objective of explaining thecorporate image management process and adopts an ` outside inrsquorsquo focus (animage reputation focus) rather than an inside out (an identity personalityfocus) Abrattrsquos model is most useful in that it attempts to integrate the

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272

problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

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273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

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274

challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

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275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

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276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

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277

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anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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Aberg L (1990) ` Theoretical model and praxis of total communicationsrsquorsquo International PublicRelations Review Vol 13 No 2

Abratt R (1989) ` A new approach to the corporate image management processrsquorsquo Journal of MarketingManagement Vol 5 No 1 pp 63-76

Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

Corporate identitybranding and

marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

EuropeanJournal ofMarketing3534

288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 4: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

Corporate identitybranding and

marketing

251

First explanation for the fog the terminologyProviding an exegesis of the literature surrounding the family of conceptsrelated to business identity is a difficult task Existing literature reviews gosome way in giving clarity in this regard (Abratt 1989 Balmer 1998 Fombrunand van Riel 1997 Grunig 1993 Kennedy 1977)

What is clear is that the identity concept in its various facets is ubiquitousbut it can be used with reckless permissiveness among practitioner circles andto a lesser degree among scholars The practitioner literature is replete withexamples of where identity is initially defined in terms of the fundamentalattributes of an organisation but often undergoes a dramatic volte-face withidentity solutions being explained only in graphic-design terms The existenceof a trio of identity concepts is indicative of the perspicacity which needs to beaccorded by identity scholars The literature pertaining to the three identityconcepts is still evolving as is the relationship between the concepts A degreeof symbiosis is occurring and the author shares Whetten and Godfreyrsquos (1998)view of the efficacy of greater dialogue between management scholars fromdifferent disciplinary perspectives

The literature covering the business identity domain not only makesreference to the triumvirate of concepts underpinning business identity(corporate identity organisational identity and visual identity) but alsoembraces a wealth of other concepts comprising the corporate brand corporatecommunicationtotal corporate communications corporate image corporatepersonality and corporate reputation However as several writers haveremarked there is a lack of consensus as to the precise meaning of many of the

Table IThe 15 contributory

factors for the fogvis-aAacute -vis business

identity

1 The terminology2 The existence of different paradigmatic views vis-aAacute -vis business identityrsquos raison drsquoeAtildetre3 Multifarious disciplinary perspectives re business identity4 A failure to make a distinction between the elements comprising a business identity and

the elements to be considered in managing a business identity5 Disagreement with regard to the objectives of business identity management6 A traditional lack of dialogue between Anglophone and Non-Anglophone scholars and

writers7 The traditional lack of dialogue between researchers from different disciplines8 The association with graphic design9 The effect of fashion

10 The inappropriateness of the positivistic research paradigm in the initial stages oftheory generation vis-aAacute -vis business identity

11 The paucity of empirical academic research12 Undue focus being accorded to the business identities of holding companiesparent

organisation13 The emphasis assigned to Anglo-Saxon forms of business structures14 Weaknesses in traditional marketing models of corporate identitycorporate image

management and formation15 A failure to make a distinction between the actual communicated conceived ideal and

desired identities

EuropeanJournal ofMarketing3534

252

concepts articulated above and the relationships between them Abrattrsquos (1989p 66) insightful comment articulated below reflects the views of many scholarsincluding Balmer and Wilkinson (1991) Ind (1992) Olins (1978) and Van Rieland Balmer (1997)

Despite the voluminous literature the concepts remain unclear and ambiguous as nouniversally accepted definitions have emerged (Abratt 1989)

The following authors provide an overview of the following concepts corporateidentity (Balmer 1998) organisational identity (Whetten and Godfrey 1998)visual identity (Chajet and Schachtman 1998) corporate image (Grunig 1993)corporate personality (Olins 1978) corporate reputation (Fombrun and VanRiel 1997) corporate communications (Van Riel 1995) total corporatecommunications (Balmer and Gray 1999) and the corporate brand (Macra1999) The muddled use of the terminology has perhaps contributed more tothe fog surrounding the business identity domain than any other factor For thewould-be novice of business identity studies or indeed of corporate marketingthe concepts may at first sight appear to be impenetrable and theirrelationships Byzantine in complexity The author while recognising the abovedifficulties is of the view that the emergence of a family of related concepts isindicative of business identitycorporate marketingrsquos growing maturityAccording to Watershoot (1995 p 438) the making of listings and taxonomiesis one of the primary tasks in the development of a new body of thought TableII articulates the authorrsquos understanding of the principal concepts therelationships between them and their place in the current understanding ofbusiness identity including its nature management objectives and outcomesBuilding upon Table II Table III attempts to show the saliency of the identityand related concepts in addressing key organisational issues and questions

One problem associated with some of the concepts is the analogy that issometimes made between the human identity and personality and the corporateidentity and personality There are clear benefits but also dangers inassuming that corporate entities can be understood explained and altered byapplying the principles of social psychology (cf Bromley 1993) A couple ofobservations need to be made here First the use of metaphors pertaining to thehuman identity has been used by leading identity scholars such as Albert andWhetten (1985) and is particularly prevalent in their text Identity inOrganisations (Whetten and Godfrey 1998) Many of these anthropologicalmetaphors were introduced by practitioners for practical reasons Alan Siegalrsquosuse of the ` voicersquorsquo (corporate communication) metaphor and Olinsrsquos use of thepersonality metaphor are perhaps the most obvious examples For example inOlinsrsquos text (1978) the corporate personality and its link with the humanpersonality is more apparent than might be deduced from a reading of therecent literature Olins hypothesised that organisations in their formative yearsoften mirror the personality of the organisationrsquos founder and it is theorganisationrsquos founder or founders who Olins argues imbue the organisationwith its distinctiveness Once the founder has left there is a void (what the

Corporate identitybranding and

marketing

253

Table IIOverview of the main

concepts

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Cor

por

ate

bra

nd

Aak

er(1

996)

B

alm

er(1

995

1999

)In

d(1

996)

D

eC

her

nat

ony

(199

9)G

regor

y(1

997)

K

apfe

rer

(199

2)K

ing

(199

1)

Mac

rae

(199

9)M

aath

ius

(199

9)IC

IGSta

tem

ent

(See

Appen

dix

1)

(a)

The

acquis

itio

nof

afa

vou

rable

corp

orat

ebra

nd

isan

espou

sed

obje

ctiv

eof

busi

nes

sid

enti

tym

anag

emen

tA

corp

orat

ebra

nd

pro

pos

itio

nsh

ould

be

der

ived

from

the

organ

isat

ionrsquos

iden

tity

(b

)T

he

corp

orat

ebra

nd

mix

consi

sts

ofcu

ltura

lin

tric

ate

tangib

lean

det

her

eal

elem

ents

`C2IT

Ersquorsquo

(Bal

mer

20

00)

Inth

isar

ticl

eco

mm

itm

ent

has

bee

nad

ded

asa

fift

hel

emen

tT

his

isbec

ause

aco

rpor

ate

bra

nd

requir

esco

mm

itm

ent

from

all

staf

fas

wel

las

com

mit

men

tfr

omse

nio

rm

anag

emen

tan

din

finan

cial

suppor

tT

he

corp

orat

ebra

nd

conce

pt

isre

late

dto

the

conce

pts

ofco

rpor

ate

reputa

tion

and

corp

orat

eim

age

whic

har

eal

soto

som

edeg

ree

conce

rned

wit

hper

cepti

on

Vid

ein

fraU

nlike

pro

duct

bra

nds

the

focu

sof

corp

orat

ebra

nds

ison

(i)

all

inte

rnal

and

exte

rnal

stak

ehol

der

san

dnet

wor

ks

(ii)

bas

edon

abro

ader

mix

than

the

trad

itio

nal

mar

ket

ing

mix

and

(iii)

isex

per

ience

dan

dco

mm

unic

ated

thro

ugh

tota

lco

rpor

ate

com

munic

atio

nra

ther

than

sim

ply

via

the

mar

ket

ing

com

munic

atio

ns

mix

V

ide

infr

a

Cor

por

ate

com

munic

atio

nan

dto

tal

corp

orat

eco

mm

unic

atio

ns

Aber

g(1

990)

B

alm

eran

dG

ray

(199

9)

Ber

nst

ein

(198

4)In

d(1

996)

IC

IGSta

tem

ent

(see

Appen

dix

1)

(a)

The

chan

nel

sby

whic

ha

busi

nes

sid

enti

tyis

mad

eknow

nto

inte

rnal

and

exte

rnal

stak

ehol

der

san

dnet

wor

ks

and

whic

htr

ansl

ates

over

tim

ein

toth

eac

quis

itio

nof

aco

rpor

ate

reputa

tion

cor

por

ate

bra

nd

reputa

tion

(b

)V

anR

ielrsquos

infl

uen

tial

corp

orat

eco

mm

unic

atio

nm

ixen

com

pas

ses

(i)

man

agem

ent

(ii)

organ

isat

ional

and

(iii)

mar

ket

ing

com

munic

atio

ns

Aber

gan

dB

ernst

ein

bro

aden

edth

e`c

orpor

ate

com

munic

atio

ns

mix

rsquorsquoan

din

cluded

elem

ents

such

asco

mpan

ypro

duct

san

dbeh

avio

ur

Bal

mer

expan

ded

Van

Rie

lrsquosco

nce

pt

toen

com

pas

sth

ose

com

munic

atio

nel

emen

tsw

hic

hca

nnot

be

contr

olle

den

titl

ing

this

`tot

alco

rpor

ate

com

munic

atio

nsrsquo

rsquoB

alm

eran

dG

ray

concl

uded

that

tota

lco

rpor

ate

com

munic

atio

ns

consi

sted

ofth

ree

elem

ents

(i)

pri

mar

yco

mm

unic

atio

n(t

he

com

munic

atio

nef

fect

sof

pro

duct

san

dof

corp

orat

ebeh

avio

ur)

(ii)

seco

ndar

yco

mm

unic

atio

n(in

esse

nce

Van

Rie

lrsquosm

ix)

(iii)

tert

iary

com

munic

atio

n(w

ord-o

f-m

outh

and

mes

sages

impar

ted

abou

tth

eor

gan

isat

ion

from

thir

dpar

ties

)(c

onti

nued

)

EuropeanJournal ofMarketing3534

254

Table II

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Cor

por

ate

iden

tity

Abra

tt(1

989)

B

alm

er(1

998)

B

alm

eran

dW

ilso

n(1

998)

B

irkig

tan

dSta

dle

r(1

986)

O

lins

(199

5)Sch

mid

t(1

995)

Ste

idl

and

Em

ory

(199

7)

Stu

art

(199

8a19

98b

1999

a)T

agiu

ri(1

982)

T

yre

ll(1

995)

V

anR

ekom

(199

7)

Van

Rie

l(1

995)

V

anR

iel

and

Bal

mer

(199

7)W

iedm

ann

(198

8)

ICIG

Sta

tem

ent

(See

Appen

dix

1)

(a)

The

mix

ofel

emen

tsw

hic

hgiv

esor

gan

isat

ions

thei

rdis

tinct

iven

ess

the

foundat

ion

ofbusi

nes

sid

enti

ties

(b

)A

lthou

gh

ther

eis

still

ala

ckof

conse

nsu

sas

toth

ech

arac

teri

stic

sof

aco

rpor

ate

iden

tity

au

thor

sdo

for

the

mai

nem

phas

ise

the

impor

tance

ofse

ver

alel

emen

tsin

cludin

gcu

lture

(wit

hst

aff

seen

tohav

ean

affi

nit

yto

mult

iple

form

sof

iden

tity

)st

rate

gy

stru

cture

his

tory

busi

nes

sac

tivit

ies

and

mar

ket

scop

eT

he

abov

eper

spec

tive

ofth

eco

rpor

ate

iden

tity

conce

pt

isbec

omin

gm

ore

com

mon

wit

hin

mai

nla

nd

Euro

pe

the

UK

and

the

Bri

tish

Com

mon

wea

lth

espec

ially

thos

efr

oma

mar

ket

ingc

omm

unic

atio

ns

bac

kgro

und

(Oft

en

corp

orat

eid

enti

tyis

erro

neo

usl

yuse

dw

hen

refe

rrin

gto

vis

ual

iden

tity

V

ide

Infr

a)

Org

anis

atio

nal

iden

tity

Alb

ert

and

Whet

ten

(198

5)

Ash

fort

han

dM

ael

(198

9)

Dutt

onet

al

(199

4)H

atch

and

Sch

ult

z(1

997)

W

het

ten

and

God

frey

(199

8)

(a)

Akey

elem

ent

giv

ing

busi

nes

sid

enti

tyit

sdis

tinct

iven

ess

(vid

esu

pra

plusmnco

rpor

ate

iden

tity

and

vide

infr

aplusmn

corp

orat

eper

sonal

ity)

(b)

Ref

ers

tow

hat

emplo

yee

sfe

elan

dth

ink

abou

tth

eir

organ

isat

ionF

ocuse

son

ques

tion

sre

lati

ng

toor

gan

isat

ional

cult

ure

A

lber

tan

dW

het

tenrsquos

infl

uen

tial

def

init

ion

ofor

gan

isat

ional

iden

tity

refe

rsto

thos

ech

arac

teri

stic

sof

anor

gan

isat

ion

whic

har

ece

ntr

alen

duri

ng

and

dis

tinct

ive

How

ever

th

ere

ishea

ted

deb

ate

amon

gst

organ

isat

ional

beh

avio

uri

sts

regar

din

gA

lber

tan

dW

het

tenrsquos

cate

gor

isat

ion

ofor

gan

isat

ional

iden

tity

R

elat

ionsh

ipw

ith

corp

orat

eid

enti

tyis

beg

innin

gto

be

explo

red

but

the

mar

ket

ing

per

spec

tive

espec

ially

from

the

Com

mon

wea

lth

and

Euro

pe

has

mad

elitt

lein

the

way

ofin

road

sw

ith

Nor

ther

nA

mer

ican

schol

ars

Appea

rsto

hav

em

any

sim

ilar

char

acte

rist

ics

wit

hth

eco

nce

pt

ofco

rpor

ate

per

sonal

ity

and

wit

hco

rpor

ate

cult

ure

(cf

Fio

let

al

(199

9)vi

de

infr

a

Itsh

ould

be

bor

ne

inm

ind

that

cult

ure

isso

met

imes

vie

wed

asa

var

iable

inco

rpor

ate

iden

tity

form

atio

n

(con

tinued

)

Corporate identitybranding and

marketing

255

Table II

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Vis

ual

iden

tity

Bal

mer

(199

5)B

aker

and

Bal

mer

(199

7)

Chaj

etet

al

(199

3)

Dow

ling

(199

4)

Hen

rion

and

Par

kin

(196

7)M

elew

aran

dSau

nder

s(1

998

1999

)N

apol

es(1

988)

O

lins

(197

819

79)

Pildit

ch(1

971)

Je

nkin

s(1

991)

Sel

ame

and

Sel

ame

(197

5)

Sim

pso

n(1

979)

Ste

war

t(1

991)

(a)

One

mea

ns

by

whic

ha

busi

nes

sid

enti

tym

aybe

know

nor

in

dee

d

dis

guis

ed

An

audit

ofan

organ

isat

ionrsquos

sym

bol

ism

can

also

hel

pin

giv

ing

insi

ghts

into

anor

gan

isat

ionrsquos

corp

orat

eid

enti

tyo

rgan

isat

ional

iden

tity

T

he

mos

tpro

min

ent

aspec

tof

abusi

nes

sid

enti

tych

ange

pro

gra

mm

eT

he

only

par

tof

abusi

nes

sid

enti

tyw

hic

hca

nbe

effe

ctiv

ely

contr

olle

dby

senio

rm

anag

emen

t(b

)B

alm

errsquos

anal

ysi

sof

the

lite

ratu

rere

vea

led

that

auth

ors

ascr

ibe

four

funct

ions

tovis

ual

iden

tity

inth

atit

is(i)

use

dto

signal

chan

ge

inco

rpor

ate

stra

tegy(ii)

cult

ure

an

d(iii)

com

munic

atio

nSom

etim

esch

anges

are

under

taken

inor

der

toac

com

mod

ate

(iv)

chan

ges

infa

shio

nw

ith

regar

dto

gra

phic

des

ignO

linsrsquo

use

ful

cate

gor

isat

ion

ofvis

ual

iden

tity

into

mon

olit

hic

en

dor

sed

and

bra

nded

cate

gor

ies

has

bee

nw

idel

yad

opte

din

the

lite

ratu

reev

enth

oughas

Olins

adm

its

itra

rely

refl

ects

organ

isat

ional

real

ity

Cor

por

ate

imag

eA

bra

tt(1

989)

B

ernst

ein

(198

4)

Bro

wn

(199

8)

Bri

stol

(196

0)B

oors

ein

(196

1)

Bou

ldin

g(1

956)

B

udd

(196

9)C

raven

(198

6)

Dow

ling

(198

6)G

ray

(198

6)

Gra

yan

dSm

elze

r(1

985)

G

ray

and

Bal

mer

(199

8)G

runig

(199

3)K

enned

y(1

997)

L

indquis

t(1

974)

M

arti

nea

u(1

958)

Spec

tor

(196

1)V

anH

eerd

enan

dP

uth

(199

5)

Van

Rie

l(1

995)

W

orce

ster

(198

619

97)

(a)

One

ofth

ees

pou

sed

obje

ctiv

esof

effe

ctiv

ely

(or

non

-eff

ecti

vel

y)

man

agin

ga

busi

nes

sid

enti

tyie

th

ecr

eati

onof

apos

itiv

e(o

rneg

ativ

e)im

age

(b)

Ther

ear

eth

ree

bro

ad

dis

ciplinar

yap

pro

aches

toco

rpor

ate

imag

edra

wn

from

psy

chol

ogygra

phic

des

ign

and

from

public

rela

tion

sse

eB

row

n(1

998)

and

Bal

mer

(199

8)T

he

conce

pt

isim

por

tant

but

ispro

ble

mat

icdue

toth

em

ult

iplici

tyof

inte

rpre

tati

ons

and

neg

ativ

eas

soci

atio

ns

Ques

tion

sre

lati

ng

toit

s`m

anag

emen

trsquorsquoar

ein

her

entl

ypro

ble

mat

icC

once

pt

has

larg

ely

bee

nec

lipse

dby

that

ofth

eco

rpor

ate

reputa

tion

bot

hin

the

lite

ratu

rean

din

man

agem

ent

par

lance

V

ide

infr

a

(conti

nued

)

EuropeanJournal ofMarketing3534

256

Table II

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Cor

por

ate

per

sonal

ity

Abra

tt(1

989)

B

alm

eran

dW

ilso

n(1

998)

B

irkig

tan

dSta

dle

r(1

986)

L

ux

(198

6)

Olins

(197

8)V

anR

iel

and

Bal

mer

(199

7)

(a)

Akey

elem

ent

whic

hgiv

esa

busi

nes

sid

enti

tyit

sdis

tinct

iven

ess

and

rela

tes

toth

eat

titu

des

and

bel

iefs

ofth

ose

wit

hin

the

organ

isat

ion

Ther

efor

eth

ere

appea

rsto

be

apri

me

faci

eca

sefo

rlinkin

gth

eco

nce

pt

toor

gan

isat

ional

iden

tity

and

toth

eco

nce

pt

ofco

rpor

ate

cult

ure

V

ide

supra

(b

)O

lins

pos

tula

ted

that

anor

gan

isat

ionrsquos

cult

ure

invar

iably

dev

elop

sar

ound

the

organ

isat

ionrsquos

founder

and

afte

rth

efo

under

rsquosdep

artu

rere

quir

esm

anag

emen

tat

tenti

onin

order

tofi

llw

hat

the

auth

orca

lls

`the

per

sonal

ity

def

icit

rsquorsquoA

uth

ors

who

refe

rto

the

conce

pt

inth

eir

wri

ting

orm

odel

spla

ceth

eco

nce

pt

per

sonal

ity

atth

ece

ntr

eof

busi

nes

sid

enti

ty

The

BB

Cst

udy

under

taken

by

Bal

mer

lead

sto

the

concl

usi

onth

atth

eco

rpor

ate

per

sonal

ity

refe

rsto

the

mix

ofco

rpor

ate

pro

fess

ional

re

gio

nal

and

other

sub-c

ult

ure

sin

organ

isat

ions

and

that

this

`cult

ura

lm

ixrsquorsquo

isa

key

elem

ent

ingiv

ing

dis

tinct

iven

ess

tobusi

nes

sid

enti

ties

C

lear

links

wit

hth

e`d

iffe

renti

atio

npar

adig

mof

cult

ura

lst

udie

srsquorsquo

Org

anis

atio

nal

iden

tifi

cati

onis

per

hap

sa

pre

fera

ble

conce

pt

inlight

ofth

edif

ficu

ltie

sas

soci

ated

wit

hth

enot

ion

that

organ

isat

ions

hav

ea

per

sonal

ity

inth

esa

me

way

that

hum

ans

do

This

conce

pt

has

also

suff

ered

asa

conse

quen

ceof

the

vag

arie

sof

fash

ion

Cor

por

ate

reputa

tion

Bro

mle

y(1

993)

C

aruan

aan

dC

hir

cop

(200

0)

Fom

bru

n(1

996)

F

ombru

nan

dV

anR

iel

(199

7)G

ray

and

Bal

mer

(199

8)

Gre

yse

r(1

999)

Sob

olan

dF

arre

ll(1

988)

W

eigel

tan

dC

amer

er(1

988)

(a)

One

obje

ctiv

eof

effe

ctiv

ebusi

nes

sid

enti

tym

anag

emen

tis

the

acquis

itio

nof

afa

vou

rable

reputa

tion

amon

gkey

stak

ehol

der

gro

ups

This

isbel

ieved

togiv

eth

eor

gan

isat

ion

aco

mpet

itiv

ead

van

tage

(b)

Fom

bru

nan

dV

anR

iel

pro

vid

esi

xca

tegor

isat

ions

ofco

rpor

ate

reputa

tion

sre

flec

ting

the

six

dis

tinct

lite

ratu

res

onth

ear

eaw

hic

hvar

iousl

yfo

cus

onit

sfi

nan

cial

wor

th

its

trai

tsan

do

rsi

gnal

sit

sfo

rmat

ion

reputa

tion

alex

pec

tati

ons

and

nor

ms

and

onre

puta

tion

alas

sets

and

mob

ilit

ybar

rier

s

Corporate identitybranding and

marketing

257

Table IIIThe saliency of

identity and relatedconcepts in addressing

major organisationalconcerns

Concept Addresses key question Commentsexplanations

Corporate identity What are we Also involves addressing a series ofquestions including What is ourbusinessstructurestrategyethosmarketperformancehistory andreputationrelationships to otheridentities

Organisationalidentity (corporatepersonality)a

Who are we The mix of dominantascendantsubcultures withintranscending theorganisation Employeesrsquo relationshipswith myriad organisational identities(holding company subsidiaryiesdepartments original current andemergent identities) Professionalcultural industrial sexual identitiesetc

Visual identity (visualidentificationsystem)

What are theorganizationrsquos symbolsand system ofidentification

Do the organisationrsquos visual (and verbal)cues communicate whatwho we areWhatwho we were Whatwho wewish to be A mix of the above Isthere clarity or confusion Does itreflect or possibly inform currentstrategy

Corporatecommunication

Is there integratedcommunication

In relation to management organisationaland marketing communications Arethey integrated in terms ofmanagement philosophy and process

Total corporatecommunications

Is there congruency revertical and horizontalcommunication

Vertical between corporatecommunication corporate actionsperformance and behaviours andbetween third partiesHorizontal asabove but also congruency over time

Corporate image What is the currentperception andorprofile

In relation to the immediate mentalperception of the organisation held byan individual group or network

Corporate reputation What distinctiveattributes (if any) areassigned to theorganisation

The enduring perception held of anorganisation by an individual group ornetwork

Corporate brand What is the promiseinferred fromcommunicated by thebrand

Are these inferences accurate reflected inreality (the promiseperformance gap)shown in management commitment andunderpinnedmade explicit by effectivecommunications Vida supra

Note aThe traditional andor preferred marketing description

EuropeanJournal ofMarketing3534

258

author of this article calls ` the personality deficitrsquorsquo) Over time it is the mix ofsubcultures (corporate professional national etc) present within theorganisation that fills this void and gives it a collective personality albeit apersonality of many different elements (cf Balmer and Wilson 1998)

As Gioia (1998) noted

Like individuals organisations can be viewed as subsuming a multiplicity of identities eachof which is appropriate for a given context or audience Actually at the organisation level thenotion of the multiple identities is perhaps the key (if subtle) point of difference betweenindividuals and organisations

He continued

Thus organisations can plausibly present a complicated multifaceted identity eachcomponent of which is relevant to specific domains or constituents without appearinghopelessly fragmented or ludicrously schizophrenic as an individual might

The notion of multiple identities will be further explored in the 15th reason forthe fog

Second reason for the fog the existence of different paradigmatic viewsvis-aAacute-vis business identityrsquos raison drsquoeAtildetreThere are three distinct perspectives on how the business identity conceptshould be defined and explored The three perspectives are functionalistinterpretative and post-modern Gioia (1998) expounded the nature of thedebate taking place in each of these philosophical schools with regard toorganisational identity Here the modus vivendi is to uncover why and howemployees think and act in relation to their employerorganisation Theseparadigms also inform thought within other fields of business identity and ofcourse management studies generally

The functionalist lens regards business identity as a social fact Consequentlya business identity can be observed moulded and managed The key researchissues centre on uncovering describing and measuring a business identityObservation and psychometric instruments are the preferred research tools

The second paradigm embracing the interpretative perspective has as itsmain focus the understanding of how employees construct meaningsregarding who they are within an organisational environment Businessidentity is viewed as a socially constructed phenomenon with employeesseeking to give some level of meaning to their work existence The researchfocus is to uncover the meanings employees attach to their organisation Thestudy of organisational symbols underlines the methodical approach of thisparadigm

The final component of the troika of perspectives the post-modernparadigm seeks to disclose power-relationships regarding business identityThe emphasis focuses on complexity rather than on simplicity Businessidentity is regarded as a collection of transcendatory perspectives about howorganisational members view themselves Provocation and reflexivity

Corporate identitybranding and

marketing

259

characterise the research process The main research tools are language anddiscourse While such schools may appear to be irreconcilable as Gioia (1998)observes they do give richness to the general understanding of the businessidentity concept as do other perspectives in this nascent area This is a keyleitmotif of this article and the author argues should characterise emerginguacuteuvre pertaining to business identity studies

Third reason for the fog multifarious disciplinary perspectives re business identityThe literatures pertaining to business identity and particularly to corporateidentity organisational identity and visual identification reveal a plethora ofperspectives with regard to first the scope of the various identity conceptsregarding various management disciplines and second the shiftingperspectives relating to the relationships between the three identity conceptsFigure 1 shows the various relationships that have been postulated in theliterature This illustrates the huge disparity between the nature and roAtildele ofidentity studies On closer examination it becomes apparent that some of thenarrower perspectives relate to what is more appropriately called visualidentity The final interdisciplinary approach represents the authorrsquos view thatbusiness identity studies will form the keystone of corporate marketingTaking up the metaphor of the silver lining outlined in the opening paragraphof this article it becomes apparent that while there has been a traditional lackof agreement on the nature and roAtildeles of identity Figure 1 does show that the(business) identity is an omnipresent concept across a whole spectrum ofmanagement and marketing areas

Fourth explanation for the fog a failure to make a distinction between theelements comprising a business identity and the elements to be considered inmanaging a business identityIt should be borne in mind that business identity in its various facets may beseen as concept philosophy and as a process Concept and philosophy will bediscussed in this section and the process will be examined under the fifthexplanation

The literature reveals a lack of consensus as to the elements which constitutea business identity (the business identity mix) as well as a failure to distinguishbetween the elements of the corporate identity management mix

The approach taken by Balmer and Soenen (1999) appears to be the first tomake a clear distinction between first the elements comprising a businessidentity and second the elements required of its management This businessidentity mix embraces a triumvirate of elements termed

(1) the soul (the subjective elements of business identity including thevalues held by personnel which find expression in the plethora ofsub-cultures and the mix of identity types present within organisations)

(2) the mind (the conscious decisions made by the organisation vis-aAacute -vis theespoused organisational ethos vision strategy and productperformance) and

EuropeanJournal ofMarketing3534

260

(3) the voice (this encompasses the multi-faceted way in whichorganisations communicate internally and externally to stakeholdergroups and networks and which is normally called ` total corporatecommunicationsrsquorsquo viz Balmer and Gray (1999)

Figure 1The evolvingrelationships betweencorporate identity andother conceptsdisciplines

Corporate identitybranding and

marketing

261

An additional trio of elements melding with the above form what Balmer andSoenen call the business identity management mix

The additional elements of Balmer and Soenenrsquos identity management mixare environmental forces (the need to take cognisance of this) stakeholders (theneed to be aware of stakeholders) and reputations (encompassing thereputation of the holding company its subsidiaries and business units thecountry-of-origin and the organisationrsquos partners such as alliance partners)

Mention may be made of those other authors who have attempted toarticulate the elements of a business identity These include Birkigt and Stadler(1986) the Mitsubishi Model of Japan (nd) and those by Schmidt (1995) andSteidl and Emory (1997)

Birkigt and Stadlerrsquos (1986) identity mix which is assigned a good deal ofimportance in Van Rielrsquos text (1995) and in a good deal of the subsequentliterature consists of a quartet of elements

(1) personality

(2) behaviour

(3) communication and

(4) symbolism

It would appear that this mix articulates the elements by which a businessidentity is known The mix emphasises the communications effect(s) of anorganisationrsquos behaviour communication policies and visual symbolism Themix is useful in revealing some of the major channels by which a businessidentity may be known and represents a distinct shift away from acategorisation of corporate identity in purely visual terms However incomparison to other more recent approaches it is somewhat narrow in scope

The primary objective of the Mitsubishi mix (nd) is to reveal those elementsthat constitute a business identity As with Balmer and Soenenrsquos (1999) mixthis approach draws on a trio of elements It is clear that a certain lineage maybe inferred between the English and Japanese approaches The Mitsubishi mixis segmented into what is called the mind identity (what the organisation isstriving to achieve) the strategic identity (the type of strategy which will causethe mind identity to become a reality) and the behaviour identity (the range andtypes of behaviour undertaken by the organisation)

Schmidtrsquos (1995) mix originating from the London-based Anglo-Germanconsultancy Henrion Ludlow and Schmidt comprises a quintet of elements

(1) corporate culture

(2) corporate behaviour

(3) market condition and strategies

(4) product and services and

(5) communication and design

EuropeanJournal ofMarketing3534

262

this clearly suggests it is a mix focusing on the management of businessidentity As such the mix takes cognisance of how an identity is revealed(through communications and design) but also assigns importance to marketconditions

Steidl and Emory (1997) have produced what is clearly a business identityrather than a business identity management mix As with Balmer and Soenen itwould appear that these two writers have been in part influenced by SinoNippon approaches to business identity and this is reflected in their choice ofterminology This Australian model is built around another trio of elementsthe mind (the philosophy and strategy through which the organisation securesthe support of customers) the spirit (the values of the organisation and theresponse this evokes amongst key stakeholder groups) and the body (the totalphysical infrastructure which is required to operate the business) Of note hereis the emphasis accorded to ` the bodyrsquorsquo which is not encompassed by the othermodels Rather surprisingly ` the bodyrsquorsquo does not encompass organisationalstructure Thus the author is of the view that a broader interpretationencompassing company structure would appear to be appropriate Theimportance of structure is similarly noted by Balmer and Gray (1999) Ind(1996) Morison (1997) and Stuart (1998a 1999b) The authorrsquos new identitymixes taking cognisance of the above comprises four elements and this isillustrated in Figure 2

Unlike the approaches used by Balmer and Soenen Schmidt and Steidl andEmory it has been decided to break with (at least from a British NorthAmerican and Commonwealth perspective) the practitioner legacy which usesthe human metaphor The four elements comprising this new mix are strategystructure communication and culture

The need to make a distinction between the variables comprising a businessidentity and the task elements to be considered with regard to the managementof a business identity mix is deserving of more attention by both scholars andpractitioners than has been the case to date

The implications of the authorrsquos new mix and those of many of other mixesis that researching a business identity involves using Gioiarsquos (1998 p 26)classification plusmn marrying the interpretive lens (with regard to understandingpersonnelrsquos various affinities to different identities) with the functionalist lens(with regard to the above parts of the mix) Consequently what is required is afurther breaking down of boundaries between research paradigms Thisprocess has implications not only for identity scholarship but also for identityconsultancy and management

Fifth explanation for the fog disagreement with regard to the objectives ofbusiness identity managementThe literature reveals a wide variety of purposes and objectives associated withbusiness identity management Balmerrsquos (1995) initial literature review

Corporate identitybranding and

marketing

263

revealed that corporate identity change programmes were variously used as avehicle to assist in

strategy formulation

culture-change

effective corporate communication

articulating a corporate strategy

articulatingchanging the organisationrsquos culture

acting as a platform for corporate communications and

ensuring that the organisationrsquos visual identity is fashionable

This is indicative of the multidisciplinary nature of the domain with the type ofidentity change reflecting the aspects of the organisationrsquos identity that requireattention

Significantly the effective management of a business identity has beenregarded as imbuing an organisation with a favourable image (cf Abratt 1989

Figure 2Balmerrsquos new identity

mix and identitymanagement mix

EuropeanJournal ofMarketing3534

264

Balmer 1995 Birkigt and Stadler 1986 Dowling 1994 Steidl and Emory 1997Tyrrell 1995 Van Rekom 1997) and more recently the acquisition of afavourable corporate reputation coupled with business survival andprofitability (Balmer and Stotvig 1997 Van Riel and Balmer 1997 Gray andBalmer 1998) The objective of acquiring a favourable corporate image hasfallen out of favour since the concept of the corporate image is fraught withdifficulty (Balmer 1998) The acquisition of a corporate brand on the otherhand has been identified as an objective of corporate identity management(Balmer 1999a) The ICIG statement reproduced in Appendix 1 cites a numberof possible objectives in relation to corporate identity management namely

fostering a sense of individuality

achieving differentiation in a competitive environment

providing disciplinary integration

providing a platform for coherent corporate communication

nurturing an image that is consistent with the organisationrsquos definingethos and character

nurturing understanding and commitment among stakeholders

attracting and retaining customers and employees

achieving strategic alliances and

gaining support of financial markets

Sixth explanation of the fog a traditional lack of dialogue between Anglophoneand non-Anglophone scholars and writersIn addition to the lack of dialogue between scholars from different disciplines anotable feature of the literature on business identity is how linguistic andcultural barriers have exerted an influence in the general understanding of thearea The most dramatic divide is between Anglophone and non-Anglophonenations For instance the literature on business identity emerging frommainland Europe appears to have developed quite independently from theNorth American literature and also from that of the UK and the old (British)Commonwealth and vice versa An example of this is the French school ofthought on corporate identity (Moingeon and Ramanantsoa 1997) TheNetherlands appears to be the exception to the rule owing to the linguisticdexterity of the peoples of that kingdom This can be seen in Van Rielrsquos (1995)influential text Principles of Corporate Communication which contains averitable cornucopia of international sources

Further afield questions of language have hindered our understanding ofSino and Japanese approaches to the area The current understanding ofbusiness identity in `Westernrsquorsquo nations might need to undertake a furtherradical reappraisal in order to accommodate what appear to be substantivedifferences of approach between ` Westernrsquorsquo and ` Asianrsquorsquo scholars of businessidentity Reference has already been made to the Mitsubishi mix According to

Corporate identitybranding and

marketing

265

Steidl and Emory (1997 pp 4-5) the Japanese approach to business identityadopts a radically different manner from that found in other nations They referto Motoo Nakanishi the chairman of one of Japanrsquos foremost businessconsultancies who states that Japanese business identity change programmesare characterised by their longevity in planning and implementation and thatthey are also dependent upon the CEO championing such a change In contrastNakanishi comments that US identity change programmes reflect the characterof the CEO to a greater extent than Asian approaches are similar to Japaneseprogrammes in their reliance on the CEO for their success are more project-orientated and are short-term in scope For their part Johansson and Hirano(1999) point out that in Asia there is a higher degree of parallelism betweenindividual and corporate objectives than in the West cf Balmer and Wilson(1998)

Seventh explanation for the fog the traditional lack of dialogue betweenresearchers from different disciplinesThe business identity literatures encompass distinctive and not so distinctiveschools of thought business communications and corporate communications(Cheney and Christensen 1999 Van Riel 1995) graphic design (Olins 1995Schmidt 1995) image and image-research (Brown 1998 Barich and Kotler1991 Worcester 19861997) marketing (Abratt 1989) organisationalbehaviour (Albert and Whetten 1985 Mael and Ashforth 1992) publicrelations (Grunig 1993) psychology (Bromley 1993) reputation (Fombrun1996) and strategy (Gray and Smeltzer 1985 Marwick and Fill 1997 Morison1997) A multi-disciplinary approach is adopted by Balmer (1995 1998) with astrong marketingcommunications emphasis

Despite the wealth of disciplines the degree of cross fertilisation of ideas andinsights from these literatures is comparatively slight It would appear thatbusiness identity issues have to a large degree matured along narrow verticaland disciplinary paradigms There has been little in the way of multi-disciplinary holistic development This may be placed in the context of thevarious business identity mixes articulated by Balmer and Soenen (1997)Birkigt and Stadler (1986) Schmidt (1995) and Steidl and Emory (1997) thatclearly demand that a broad multi-disciplinary approach be adopted

Mention may also be made of Whetten and Godfreyrsquos (1998) book Identity inOrganisations where academics from a number of disciplines discuss variousfacets of the business identity world However there is a paucity of materialemanating from British Commonwealth and European sources in this text andfor the main little from the marketing literature is marshalled This may becontrasted with the recent marketing literature where organisationalbehaviourists for instance have made a significant contribution

Eighth explanation for the fog the association with graphic designThe importance accorded to graphic design in the business identity literaturehas exacerbated the confusion surrounding the area and may in retrospect be

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seen to have exerted a deleterious influence regarding the conceptualisation ofidentity In the past this has led to the business identity domain being narrowlyconceived Some writers with backgrounds in marketing and communicationhave accorded symbolism the same importance as other business identityelements such as behaviour and communication viz Birkigt and Stadler (1986)The emphasis accorded to graphic design in business identity studies has beenperpetuated by many so-called corporate identity consultancies who are to allintents and purposes graphic design consultancies Research undertaken byMORI revealed that significant numbers of managers in UK and Europe stillequate UK-based corporate identity with graphic design (cf Schmidt 1995)Such has been the influence of graphic design that it has almost becomeaxiomatic that any change of business identity will have an attendant changeof visual identity The author has not to date discovered a case where acorporate identity consultancy advising a client during a business identitychange programme has not as a minimum tweaked the corporate logo This isa curious state of affairs and again raises some profound questions Wolff Olins(Europersquos largest corporate identity consultancy) in their ` Guide to corporateidentityrsquorsquo produced for the UK weekly magazine Marketing (1990 pp 19-24)made this very point

Because of corporate identityrsquos roots in design it will probably entail a new or revised logodesign

With the passing of ten years little appears to have altered For instance themajority of personnel employed by corporate identity consultancies tend tohave a background in graphic design The author is of the view that thegraphic design emphasis ascribed to business identity has thrown the area outof kilter This has had the unfortunate effect of stifling a broader moresophisticated and scholarly appreciation of business identity The distinctcorporate identity and organisational identity literatures although somewhatparvenu in relation to the visual identity literature have without doubt made aprofound contribution to the general understanding of business identity overrecent years What is required is for a more balanced appraisal to take place vis-aAacute -vis the power of visual identity and of graphic design in what is starting to beknown as the corporate identity mixbusiness identity mix What is not refutedby the author is that visual identification does unquestionably have powerVan Riel (1995) pointed out the wide impact of visual communication when hewrote that the average lorry is capable of delivering 7-9 million visualimpressions per year or about 60 per kilometre Empirical work undertaken byMelewar and Saunders (1998) revealed the benefit of standardised globalcorporate visual identity systems Furthermore the use of what is known as` the visual auditrsquorsquo (an examination of the organisationrsquos symbolism and brandstructure) has been shown to be a most effective initial means ofcomprehending an organisationrsquos cultures power-base strategies andcommunication As such the visual audit may provide useful insights into anorganisationrsquos identity

Corporate identitybranding and

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267

However whereas a visual audit may reveal symptoms of inherent corporatemalaise many organisations fall into the trap of resorting to the initiation of anew visual identity as a means of correcting what can be profoundorganisational difficulties This may suggest a degree of naivety on the part ofsome senior managers and consultancies in failing to differentiate between thecauses and the symptoms (visual-identity) of a weak inconsistent negative orunwanted business identity As a result of this approach a number of authorstend to define corporate identity in prosaic terms namely ` what anorganisation isrsquorsquo While inadequate as a definition it does help to distance thearea from the narrow graphic design perspective

The emphasis on the visual has had another unfortunate effect in cloudingover the importance of the other senses of sound scent taste and touch Itwould be perverse to suggest that visually impaired customers employees orinvestors are unable to recognise differentiate between or form opinions oforganisations Upon reflection it becomes apparent that the non-visual sensescan be just as powerful in communicating the identity of a collective group Forexample the aural sense has a dominant role in the recognition of the identitiesof radio stations The aural sense also helps to differentiate one nation statefrom another via the use of languages and national anthems Important lessonscan in this regard be learned from ancient institutions such as the CatholicChurch which marshals all the senses to forge an impressive panoply ofsignals to support the Catholic Churchrsquos tenets and beliefs Although theCatholic Church has in recent years offered a somewhat flaccid version of itsidentity it is still possible to experience the effect of marshalling of all thesenses in an experience which is unique to the Catholic faith Thus at atraditional solemn celebration of the liturgy at Londonrsquos Brompton Oratorythe churchrsquos distinctiveness is communicated through among otherssymbolism (vestments church furnishings architecture posture of clergy andlaity) sound (Latin Gregorian chant and polyphony) smell (incense) touch(holy water) and taste (taking the sacrament)

Ninth explanation for the fog the effect of fashionVagaries in fashion in the use of concepts have played their part in thickeningthe fog surrounding the area A would-be scholar of business identity studieshas to show a good deal of perspicacity not only in accommodating the richvariety of concepts in use but also in exerting acute vigilance in theirassessment of what he or she understands by the concept The effects offashion can clearly be seen in the 1950s and 1960s when much attention wasfocused on the concept of the ` corporate imagersquorsquo Yet in the 1970s ` corporateidentityrsquorsquo grew in popularity and to some degree was used in preference to` corporate imagersquorsquo The corporate identityconcept was not only used as asurrogate for ` image managementrsquorsquo but has been viewed by some authors suchas Dowling (1994) as being fundamentally concerned with visual identityOthers saw the concept as embracing the distinct characteristics of anorganisation (Van Riel and Balmer 1997) In recent years reference to the

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268

` corporate brandrsquorsquo or what is sometimes termed ` service brandingrsquorsquo (cf Balmer1995 De Chernatony 1999) has replaced reference to ` corporate identityrsquorsquo Ofparticular note is corporate reputation which as a concept has been in theascendant over recent years and has almost eclipsed references to the corporateimage in the literature and in management parlance What is apparent is thattoo many practitioners and some scholars have tended to regard the emergenceof a new concept as a replacement to what has gone before rather thanconsidering each new concept for its potential in building on what preceded itand furthering therefore the general understanding of the creationmanagement and saliency of business identity

Tenth explanation for the fog the inappropriateness of the positivistic researchparadigm in the initial stage of theory generation vis-aAacute-vis identityUndue attention has been given to measuring the outcomes and benefits ofeffective business identity management Providing a firm foundation regardingthe nature andor driving forces of business identity will do much to lift the fogsurrounding the area In this regard the research paradigm of naturalism isperhaps more appropriate than positivism in explaining a phenomenon such ascorporate identity which has not previously been subjected to a great deal ofempirical research viz Van Mannen (1985) Case studies can also be usefulwith regard to theory building research in the field of corporate identity Oliver(1997) argued the importance of case study research albeit in relation tocorporate communication and stated that formal theories do develop from casestudies Oliver is supported in her view by others including Gill and Johnson(1991) and Yin (1984)

While some caution needs to be applied to the maxim found in VirgilrsquosAeneid ` ab uno disce omnesrsquorsquo (from one learn all) it would perhaps be equallyperverse to suggest the opposite that nothing is gained from the findings ofcase studies This is after all the modus operandi underpinning HarvardBusiness Schoolrsquos pedagogical approach

Deshpande (1983) notes that quantitative methods are more suitable fortheory testing than theory generation Vankatesh (1985 p 62) commented thatthe emphasis on empirical research data analysis and quantitative modellingoffers little potential for theory generation As such the author argues thatmarketing scholars should give a greater emphasis to qualitative and casestudy research

Eleventh explanation for the fog the paucity of empirical academic researchThree reasons are postulated by the writer as to why there has been a lack ofpublished empirical research

(1) Until recently the traditional lack of interest from all but a fewmanagement academics

(2) The difficulty in getting published in mainstream management journals

(3) The difficulty in undertaking research into corporate identity

Corporate identitybranding and

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269

Invariably business identity issues encompass issues that are of particularsensitivity and have fundamental importance to organisations and their seniormanagement Therefore researchers are likely to experience acute difficulty inresearching changes of business identity which probe into the quintessence ofan organisationrsquos existence and which can propel to the fore issues of greatsensitivity and political importance In addition new scholars are likely to havethe wherewithall to extrapolate data and disseminate their findings throughlearned journals

Although this traditionally has been the case it is difficult to say whetherthis is a cause or effect vis-aAacute -vis points (1) to (3) Perhaps all elements have madea contribution What is encouraging is that more scholars are embarking onresearch into this business identity and this is represented in the burgeoningnumber of candidates embarking upon doctoral research in corporate identitySignificant empirical research to date includes that by Balmer and Wilson(1998) relating to the BBC and a major UK high street bank Dutton andDukerichrsquos (1991) research on the New York port authority Elsbach andKramerrsquos (1996) research in US universities Gioia and Thomasrsquos (1996)investigation relating to universities and Van Rekomrsquos (1997) study focusing ona sector of the Dutch tourism industry

Twelfth explanation for the fog undue focus being accorded to the businessidentities of holding companiesparent organisationsThe literature reveals a bias towards the identities of holding or parentcompanies with insufficient attention being given to the identities ofsubsidiaries as well as to industrial identities alliances licensing arrangementsand to federal types of organisational structures An exception to the latter wasBalmerrsquos (1996) research which focused on BBC Scotland plusmn a subsidiary of theBBC The emphasis accorded to the identities of parent organisations hasperhaps resulted in a far too simplistic categorisation regarding therelationship between subsidiaries business units and the holding companyThis can be seen in Olinsrsquos (1978) highly influential tripartite categorisation ofbusiness identities which he calls monolithic endorsed and brandedAlthough this is a useful basic classification it disguises the fact that parent-subsidiary relationships are invariably more complicated as evinced byKammerer (1989) Furthermore insufficient attention is given to the industry-wide generic identities with the exception of Balmer and Wilkinson (1991) andWilkinson and Balmer (1996)

Upon reflection there are other identity types such as the identity ofalliances including the ` Starrsquorsquo ` One Worldrsquorsquo and ` Wingsrsquorsquo airline alliances theidentity of consortiums such as the European Airbus and the sharing of abrand name by several important companies Examples include the Hiltonbrand name which is shared by Hilton Hotel of the USA and Ladbrokes of theUK the Rolls-Royce brand licensed to car manufacturers VWBMW(Germany) by the UK aero-engines group Rolls-Royce the multiplicity ofidentities subsumed beneath the umbrella of the Virgin brand and the Co-op

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270

brand in the UK which serves as an umbrella brand for its labyrinthicorganisational structure The simplistic approach to organisational structureand strategy outlined above and the graphic design bias has in the authorrsquosopinion served to obfuscate business identityrsquos palpable affinity with corporatestrategy

Thirteenth explanation for the fog the emphasis assigned to Anglo-Saxonforms of business structuresFor the main the various literatures of business identity focus on Anglo-Saxonforms of business identity which is characterised by short termism and whereshareholders are accorded particular importance Little has appeared inEuropean journals with regard to non Anglo-Saxon forms of businessidentities As such it would appear that undue emphasis is accorded to verticalrather than to horizontal organisational structures

There is prima facie case to suggest that existing Anglo-Saxon theories ofbusiness identity are inappropriate to certain organisational structuresoperating in other countries due to cultural and economic reasons This canperhaps be most clearly seen in Japan and Korea The traditional Japanesekeiretsu structure which encompasses well known brand names such asMitsubishi Mitsui and Sumitomo differ from their Anglo-Saxon counterpartsin that they invariably include financial services companies that can providefinance to other members of the keiretsu Typically each keiretsu structurecontains

a commercial bank a trust bank and a life insurance company

each group contains a trading company which supports other membersof the group through the provision of such things as intelligence andproject management

there is cross-shareholdings of such groups which makes it difficult fora member of the group to be threatened with an aggressive take-over

in times of crisis members of the kieretsu group will provide supportfinancial or service to the beleaguered company and finally

there is a leading group of companies

The Korean chaebol structure is similar to the Japanese keiretsu structure withthe exception that first members of the founding family still in some instancesmanage the company and second the chaebol does not contain powerfulfinancial institutions or trading companies

What is clear from the above illustration is that Eastern businessrelationships are more complicated than those witnessed in many Anglo-Saxoncompanies that the visualbranding structure is invariably applied to a familyof more or less autonomous companies rather than to a single commercialconcern that the notion of internal communications takes on a particularlyimportant role vis-aAacute -vis communication between members of the kieretsuchaebol and that the external communication is more complicated This is

Corporate identitybranding and

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271

because each company of the group not only needs to support its own corporatecommunication efforts and reputation but also that of the group Here thegrouprsquos reputation will appear to act as a powerful control mechanismBalmerrsquos (1998) DEAR Model (Decisions are Evaluated Against theorganisationrsquosgrouprsquos Reputation) may be of use in this regard

It is important to recall that there are other forms of organisational structureoperating in the West other than Anglo-Saxon structures One approachprevalent in southern Europe and termed ` the Latin approachrsquorsquo is according toCova and Aubert-Gamet (1997) based on the view that marketing institutionsare less effective than proximate communities influencing peoplesrsquo behaviourCova coined the term ` societingrsquorsquo to encapsulate this approach A case in pointis the Rhine model of organisations which for obvious reasons is prevalent inthose nations bordering the Rhine Here there are flatter more community-focused structures

In Germany businesses are not dominated by big brand names In a 1989survey for Business Week Germany accounted for only 3 per cent of the worldrsquos1000 largest companies Germanyrsquos strength (and also that of Northern Italy)rests in its Mittelstand These are small to medium-sized family businesses InGermany the characteristics of such companies are

family owned

financiers or investors are not owners or controllers of the companies

the objective is long term survival and

stakeholdersrsquo groupings cannot so easily be broken down into internaland external stakeholders

Interestingly concern is shown to stakeholders of the future Table IV providesa summation of the Anglo-Saxon and the Rhine and Asian approaches

Fourteenth explanation of the fog weaknesses in early traditional marketingmodels of corporate identitycorporate image management and formationThe fourteenth weakness identified by the writer is the weaknesses in many ofthe more influential conceptual models of corporate imageidentityreputationformation (Abratt 1989 Dowling 1986 1993 and Kennedy 1977) It wouldappear that in some of these models the writers confuse corporate identity withcorporate image While the writer is critical of some of the models each of themmakes a valuable contribution to the debate on the area Certainly several ofthese models were at the cutting edge of the debate on the area at the time theywere published These four models will be examined in turn

Abrattrsquos model (1989)Abrattrsquos conceptual and prescriptive model has the objective of explaining thecorporate image management process and adopts an ` outside inrsquorsquo focus (animage reputation focus) rather than an inside out (an identity personalityfocus) Abrattrsquos model is most useful in that it attempts to integrate the

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272

problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

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273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

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274

challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

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275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

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276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

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277

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-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

References

Aaker DA (1996) Building Strong Brands The Free Press New York NY

Aberg L (1990) ` Theoretical model and praxis of total communicationsrsquorsquo International PublicRelations Review Vol 13 No 2

Abratt R (1989) ` A new approach to the corporate image management processrsquorsquo Journal of MarketingManagement Vol 5 No 1 pp 63-76

Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

Corporate identitybranding and

marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

EuropeanJournal ofMarketing3534

288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 5: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

EuropeanJournal ofMarketing3534

252

concepts articulated above and the relationships between them Abrattrsquos (1989p 66) insightful comment articulated below reflects the views of many scholarsincluding Balmer and Wilkinson (1991) Ind (1992) Olins (1978) and Van Rieland Balmer (1997)

Despite the voluminous literature the concepts remain unclear and ambiguous as nouniversally accepted definitions have emerged (Abratt 1989)

The following authors provide an overview of the following concepts corporateidentity (Balmer 1998) organisational identity (Whetten and Godfrey 1998)visual identity (Chajet and Schachtman 1998) corporate image (Grunig 1993)corporate personality (Olins 1978) corporate reputation (Fombrun and VanRiel 1997) corporate communications (Van Riel 1995) total corporatecommunications (Balmer and Gray 1999) and the corporate brand (Macra1999) The muddled use of the terminology has perhaps contributed more tothe fog surrounding the business identity domain than any other factor For thewould-be novice of business identity studies or indeed of corporate marketingthe concepts may at first sight appear to be impenetrable and theirrelationships Byzantine in complexity The author while recognising the abovedifficulties is of the view that the emergence of a family of related concepts isindicative of business identitycorporate marketingrsquos growing maturityAccording to Watershoot (1995 p 438) the making of listings and taxonomiesis one of the primary tasks in the development of a new body of thought TableII articulates the authorrsquos understanding of the principal concepts therelationships between them and their place in the current understanding ofbusiness identity including its nature management objectives and outcomesBuilding upon Table II Table III attempts to show the saliency of the identityand related concepts in addressing key organisational issues and questions

One problem associated with some of the concepts is the analogy that issometimes made between the human identity and personality and the corporateidentity and personality There are clear benefits but also dangers inassuming that corporate entities can be understood explained and altered byapplying the principles of social psychology (cf Bromley 1993) A couple ofobservations need to be made here First the use of metaphors pertaining to thehuman identity has been used by leading identity scholars such as Albert andWhetten (1985) and is particularly prevalent in their text Identity inOrganisations (Whetten and Godfrey 1998) Many of these anthropologicalmetaphors were introduced by practitioners for practical reasons Alan Siegalrsquosuse of the ` voicersquorsquo (corporate communication) metaphor and Olinsrsquos use of thepersonality metaphor are perhaps the most obvious examples For example inOlinsrsquos text (1978) the corporate personality and its link with the humanpersonality is more apparent than might be deduced from a reading of therecent literature Olins hypothesised that organisations in their formative yearsoften mirror the personality of the organisationrsquos founder and it is theorganisationrsquos founder or founders who Olins argues imbue the organisationwith its distinctiveness Once the founder has left there is a void (what the

Corporate identitybranding and

marketing

253

Table IIOverview of the main

concepts

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Cor

por

ate

bra

nd

Aak

er(1

996)

B

alm

er(1

995

1999

)In

d(1

996)

D

eC

her

nat

ony

(199

9)G

regor

y(1

997)

K

apfe

rer

(199

2)K

ing

(199

1)

Mac

rae

(199

9)M

aath

ius

(199

9)IC

IGSta

tem

ent

(See

Appen

dix

1)

(a)

The

acquis

itio

nof

afa

vou

rable

corp

orat

ebra

nd

isan

espou

sed

obje

ctiv

eof

busi

nes

sid

enti

tym

anag

emen

tA

corp

orat

ebra

nd

pro

pos

itio

nsh

ould

be

der

ived

from

the

organ

isat

ionrsquos

iden

tity

(b

)T

he

corp

orat

ebra

nd

mix

consi

sts

ofcu

ltura

lin

tric

ate

tangib

lean

det

her

eal

elem

ents

`C2IT

Ersquorsquo

(Bal

mer

20

00)

Inth

isar

ticl

eco

mm

itm

ent

has

bee

nad

ded

asa

fift

hel

emen

tT

his

isbec

ause

aco

rpor

ate

bra

nd

requir

esco

mm

itm

ent

from

all

staf

fas

wel

las

com

mit

men

tfr

omse

nio

rm

anag

emen

tan

din

finan

cial

suppor

tT

he

corp

orat

ebra

nd

conce

pt

isre

late

dto

the

conce

pts

ofco

rpor

ate

reputa

tion

and

corp

orat

eim

age

whic

har

eal

soto

som

edeg

ree

conce

rned

wit

hper

cepti

on

Vid

ein

fraU

nlike

pro

duct

bra

nds

the

focu

sof

corp

orat

ebra

nds

ison

(i)

all

inte

rnal

and

exte

rnal

stak

ehol

der

san

dnet

wor

ks

(ii)

bas

edon

abro

ader

mix

than

the

trad

itio

nal

mar

ket

ing

mix

and

(iii)

isex

per

ience

dan

dco

mm

unic

ated

thro

ugh

tota

lco

rpor

ate

com

munic

atio

nra

ther

than

sim

ply

via

the

mar

ket

ing

com

munic

atio

ns

mix

V

ide

infr

a

Cor

por

ate

com

munic

atio

nan

dto

tal

corp

orat

eco

mm

unic

atio

ns

Aber

g(1

990)

B

alm

eran

dG

ray

(199

9)

Ber

nst

ein

(198

4)In

d(1

996)

IC

IGSta

tem

ent

(see

Appen

dix

1)

(a)

The

chan

nel

sby

whic

ha

busi

nes

sid

enti

tyis

mad

eknow

nto

inte

rnal

and

exte

rnal

stak

ehol

der

san

dnet

wor

ks

and

whic

htr

ansl

ates

over

tim

ein

toth

eac

quis

itio

nof

aco

rpor

ate

reputa

tion

cor

por

ate

bra

nd

reputa

tion

(b

)V

anR

ielrsquos

infl

uen

tial

corp

orat

eco

mm

unic

atio

nm

ixen

com

pas

ses

(i)

man

agem

ent

(ii)

organ

isat

ional

and

(iii)

mar

ket

ing

com

munic

atio

ns

Aber

gan

dB

ernst

ein

bro

aden

edth

e`c

orpor

ate

com

munic

atio

ns

mix

rsquorsquoan

din

cluded

elem

ents

such

asco

mpan

ypro

duct

san

dbeh

avio

ur

Bal

mer

expan

ded

Van

Rie

lrsquosco

nce

pt

toen

com

pas

sth

ose

com

munic

atio

nel

emen

tsw

hic

hca

nnot

be

contr

olle

den

titl

ing

this

`tot

alco

rpor

ate

com

munic

atio

nsrsquo

rsquoB

alm

eran

dG

ray

concl

uded

that

tota

lco

rpor

ate

com

munic

atio

ns

consi

sted

ofth

ree

elem

ents

(i)

pri

mar

yco

mm

unic

atio

n(t

he

com

munic

atio

nef

fect

sof

pro

duct

san

dof

corp

orat

ebeh

avio

ur)

(ii)

seco

ndar

yco

mm

unic

atio

n(in

esse

nce

Van

Rie

lrsquosm

ix)

(iii)

tert

iary

com

munic

atio

n(w

ord-o

f-m

outh

and

mes

sages

impar

ted

abou

tth

eor

gan

isat

ion

from

thir

dpar

ties

)(c

onti

nued

)

EuropeanJournal ofMarketing3534

254

Table II

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Cor

por

ate

iden

tity

Abra

tt(1

989)

B

alm

er(1

998)

B

alm

eran

dW

ilso

n(1

998)

B

irkig

tan

dSta

dle

r(1

986)

O

lins

(199

5)Sch

mid

t(1

995)

Ste

idl

and

Em

ory

(199

7)

Stu

art

(199

8a19

98b

1999

a)T

agiu

ri(1

982)

T

yre

ll(1

995)

V

anR

ekom

(199

7)

Van

Rie

l(1

995)

V

anR

iel

and

Bal

mer

(199

7)W

iedm

ann

(198

8)

ICIG

Sta

tem

ent

(See

Appen

dix

1)

(a)

The

mix

ofel

emen

tsw

hic

hgiv

esor

gan

isat

ions

thei

rdis

tinct

iven

ess

the

foundat

ion

ofbusi

nes

sid

enti

ties

(b

)A

lthou

gh

ther

eis

still

ala

ckof

conse

nsu

sas

toth

ech

arac

teri

stic

sof

aco

rpor

ate

iden

tity

au

thor

sdo

for

the

mai

nem

phas

ise

the

impor

tance

ofse

ver

alel

emen

tsin

cludin

gcu

lture

(wit

hst

aff

seen

tohav

ean

affi

nit

yto

mult

iple

form

sof

iden

tity

)st

rate

gy

stru

cture

his

tory

busi

nes

sac

tivit

ies

and

mar

ket

scop

eT

he

abov

eper

spec

tive

ofth

eco

rpor

ate

iden

tity

conce

pt

isbec

omin

gm

ore

com

mon

wit

hin

mai

nla

nd

Euro

pe

the

UK

and

the

Bri

tish

Com

mon

wea

lth

espec

ially

thos

efr

oma

mar

ket

ingc

omm

unic

atio

ns

bac

kgro

und

(Oft

en

corp

orat

eid

enti

tyis

erro

neo

usl

yuse

dw

hen

refe

rrin

gto

vis

ual

iden

tity

V

ide

Infr

a)

Org

anis

atio

nal

iden

tity

Alb

ert

and

Whet

ten

(198

5)

Ash

fort

han

dM

ael

(198

9)

Dutt

onet

al

(199

4)H

atch

and

Sch

ult

z(1

997)

W

het

ten

and

God

frey

(199

8)

(a)

Akey

elem

ent

giv

ing

busi

nes

sid

enti

tyit

sdis

tinct

iven

ess

(vid

esu

pra

plusmnco

rpor

ate

iden

tity

and

vide

infr

aplusmn

corp

orat

eper

sonal

ity)

(b)

Ref

ers

tow

hat

emplo

yee

sfe

elan

dth

ink

abou

tth

eir

organ

isat

ionF

ocuse

son

ques

tion

sre

lati

ng

toor

gan

isat

ional

cult

ure

A

lber

tan

dW

het

tenrsquos

infl

uen

tial

def

init

ion

ofor

gan

isat

ional

iden

tity

refe

rsto

thos

ech

arac

teri

stic

sof

anor

gan

isat

ion

whic

har

ece

ntr

alen

duri

ng

and

dis

tinct

ive

How

ever

th

ere

ishea

ted

deb

ate

amon

gst

organ

isat

ional

beh

avio

uri

sts

regar

din

gA

lber

tan

dW

het

tenrsquos

cate

gor

isat

ion

ofor

gan

isat

ional

iden

tity

R

elat

ionsh

ipw

ith

corp

orat

eid

enti

tyis

beg

innin

gto

be

explo

red

but

the

mar

ket

ing

per

spec

tive

espec

ially

from

the

Com

mon

wea

lth

and

Euro

pe

has

mad

elitt

lein

the

way

ofin

road

sw

ith

Nor

ther

nA

mer

ican

schol

ars

Appea

rsto

hav

em

any

sim

ilar

char

acte

rist

ics

wit

hth

eco

nce

pt

ofco

rpor

ate

per

sonal

ity

and

wit

hco

rpor

ate

cult

ure

(cf

Fio

let

al

(199

9)vi

de

infr

a

Itsh

ould

be

bor

ne

inm

ind

that

cult

ure

isso

met

imes

vie

wed

asa

var

iable

inco

rpor

ate

iden

tity

form

atio

n

(con

tinued

)

Corporate identitybranding and

marketing

255

Table II

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Vis

ual

iden

tity

Bal

mer

(199

5)B

aker

and

Bal

mer

(199

7)

Chaj

etet

al

(199

3)

Dow

ling

(199

4)

Hen

rion

and

Par

kin

(196

7)M

elew

aran

dSau

nder

s(1

998

1999

)N

apol

es(1

988)

O

lins

(197

819

79)

Pildit

ch(1

971)

Je

nkin

s(1

991)

Sel

ame

and

Sel

ame

(197

5)

Sim

pso

n(1

979)

Ste

war

t(1

991)

(a)

One

mea

ns

by

whic

ha

busi

nes

sid

enti

tym

aybe

know

nor

in

dee

d

dis

guis

ed

An

audit

ofan

organ

isat

ionrsquos

sym

bol

ism

can

also

hel

pin

giv

ing

insi

ghts

into

anor

gan

isat

ionrsquos

corp

orat

eid

enti

tyo

rgan

isat

ional

iden

tity

T

he

mos

tpro

min

ent

aspec

tof

abusi

nes

sid

enti

tych

ange

pro

gra

mm

eT

he

only

par

tof

abusi

nes

sid

enti

tyw

hic

hca

nbe

effe

ctiv

ely

contr

olle

dby

senio

rm

anag

emen

t(b

)B

alm

errsquos

anal

ysi

sof

the

lite

ratu

rere

vea

led

that

auth

ors

ascr

ibe

four

funct

ions

tovis

ual

iden

tity

inth

atit

is(i)

use

dto

signal

chan

ge

inco

rpor

ate

stra

tegy(ii)

cult

ure

an

d(iii)

com

munic

atio

nSom

etim

esch

anges

are

under

taken

inor

der

toac

com

mod

ate

(iv)

chan

ges

infa

shio

nw

ith

regar

dto

gra

phic

des

ignO

linsrsquo

use

ful

cate

gor

isat

ion

ofvis

ual

iden

tity

into

mon

olit

hic

en

dor

sed

and

bra

nded

cate

gor

ies

has

bee

nw

idel

yad

opte

din

the

lite

ratu

reev

enth

oughas

Olins

adm

its

itra

rely

refl

ects

organ

isat

ional

real

ity

Cor

por

ate

imag

eA

bra

tt(1

989)

B

ernst

ein

(198

4)

Bro

wn

(199

8)

Bri

stol

(196

0)B

oors

ein

(196

1)

Bou

ldin

g(1

956)

B

udd

(196

9)C

raven

(198

6)

Dow

ling

(198

6)G

ray

(198

6)

Gra

yan

dSm

elze

r(1

985)

G

ray

and

Bal

mer

(199

8)G

runig

(199

3)K

enned

y(1

997)

L

indquis

t(1

974)

M

arti

nea

u(1

958)

Spec

tor

(196

1)V

anH

eerd

enan

dP

uth

(199

5)

Van

Rie

l(1

995)

W

orce

ster

(198

619

97)

(a)

One

ofth

ees

pou

sed

obje

ctiv

esof

effe

ctiv

ely

(or

non

-eff

ecti

vel

y)

man

agin

ga

busi

nes

sid

enti

tyie

th

ecr

eati

onof

apos

itiv

e(o

rneg

ativ

e)im

age

(b)

Ther

ear

eth

ree

bro

ad

dis

ciplinar

yap

pro

aches

toco

rpor

ate

imag

edra

wn

from

psy

chol

ogygra

phic

des

ign

and

from

public

rela

tion

sse

eB

row

n(1

998)

and

Bal

mer

(199

8)T

he

conce

pt

isim

por

tant

but

ispro

ble

mat

icdue

toth

em

ult

iplici

tyof

inte

rpre

tati

ons

and

neg

ativ

eas

soci

atio

ns

Ques

tion

sre

lati

ng

toit

s`m

anag

emen

trsquorsquoar

ein

her

entl

ypro

ble

mat

icC

once

pt

has

larg

ely

bee

nec

lipse

dby

that

ofth

eco

rpor

ate

reputa

tion

bot

hin

the

lite

ratu

rean

din

man

agem

ent

par

lance

V

ide

infr

a

(conti

nued

)

EuropeanJournal ofMarketing3534

256

Table II

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Cor

por

ate

per

sonal

ity

Abra

tt(1

989)

B

alm

eran

dW

ilso

n(1

998)

B

irkig

tan

dSta

dle

r(1

986)

L

ux

(198

6)

Olins

(197

8)V

anR

iel

and

Bal

mer

(199

7)

(a)

Akey

elem

ent

whic

hgiv

esa

busi

nes

sid

enti

tyit

sdis

tinct

iven

ess

and

rela

tes

toth

eat

titu

des

and

bel

iefs

ofth

ose

wit

hin

the

organ

isat

ion

Ther

efor

eth

ere

appea

rsto

be

apri

me

faci

eca

sefo

rlinkin

gth

eco

nce

pt

toor

gan

isat

ional

iden

tity

and

toth

eco

nce

pt

ofco

rpor

ate

cult

ure

V

ide

supra

(b

)O

lins

pos

tula

ted

that

anor

gan

isat

ionrsquos

cult

ure

invar

iably

dev

elop

sar

ound

the

organ

isat

ionrsquos

founder

and

afte

rth

efo

under

rsquosdep

artu

rere

quir

esm

anag

emen

tat

tenti

onin

order

tofi

llw

hat

the

auth

orca

lls

`the

per

sonal

ity

def

icit

rsquorsquoA

uth

ors

who

refe

rto

the

conce

pt

inth

eir

wri

ting

orm

odel

spla

ceth

eco

nce

pt

per

sonal

ity

atth

ece

ntr

eof

busi

nes

sid

enti

ty

The

BB

Cst

udy

under

taken

by

Bal

mer

lead

sto

the

concl

usi

onth

atth

eco

rpor

ate

per

sonal

ity

refe

rsto

the

mix

ofco

rpor

ate

pro

fess

ional

re

gio

nal

and

other

sub-c

ult

ure

sin

organ

isat

ions

and

that

this

`cult

ura

lm

ixrsquorsquo

isa

key

elem

ent

ingiv

ing

dis

tinct

iven

ess

tobusi

nes

sid

enti

ties

C

lear

links

wit

hth

e`d

iffe

renti

atio

npar

adig

mof

cult

ura

lst

udie

srsquorsquo

Org

anis

atio

nal

iden

tifi

cati

onis

per

hap

sa

pre

fera

ble

conce

pt

inlight

ofth

edif

ficu

ltie

sas

soci

ated

wit

hth

enot

ion

that

organ

isat

ions

hav

ea

per

sonal

ity

inth

esa

me

way

that

hum

ans

do

This

conce

pt

has

also

suff

ered

asa

conse

quen

ceof

the

vag

arie

sof

fash

ion

Cor

por

ate

reputa

tion

Bro

mle

y(1

993)

C

aruan

aan

dC

hir

cop

(200

0)

Fom

bru

n(1

996)

F

ombru

nan

dV

anR

iel

(199

7)G

ray

and

Bal

mer

(199

8)

Gre

yse

r(1

999)

Sob

olan

dF

arre

ll(1

988)

W

eigel

tan

dC

amer

er(1

988)

(a)

One

obje

ctiv

eof

effe

ctiv

ebusi

nes

sid

enti

tym

anag

emen

tis

the

acquis

itio

nof

afa

vou

rable

reputa

tion

amon

gkey

stak

ehol

der

gro

ups

This

isbel

ieved

togiv

eth

eor

gan

isat

ion

aco

mpet

itiv

ead

van

tage

(b)

Fom

bru

nan

dV

anR

iel

pro

vid

esi

xca

tegor

isat

ions

ofco

rpor

ate

reputa

tion

sre

flec

ting

the

six

dis

tinct

lite

ratu

res

onth

ear

eaw

hic

hvar

iousl

yfo

cus

onit

sfi

nan

cial

wor

th

its

trai

tsan

do

rsi

gnal

sit

sfo

rmat

ion

reputa

tion

alex

pec

tati

ons

and

nor

ms

and

onre

puta

tion

alas

sets

and

mob

ilit

ybar

rier

s

Corporate identitybranding and

marketing

257

Table IIIThe saliency of

identity and relatedconcepts in addressing

major organisationalconcerns

Concept Addresses key question Commentsexplanations

Corporate identity What are we Also involves addressing a series ofquestions including What is ourbusinessstructurestrategyethosmarketperformancehistory andreputationrelationships to otheridentities

Organisationalidentity (corporatepersonality)a

Who are we The mix of dominantascendantsubcultures withintranscending theorganisation Employeesrsquo relationshipswith myriad organisational identities(holding company subsidiaryiesdepartments original current andemergent identities) Professionalcultural industrial sexual identitiesetc

Visual identity (visualidentificationsystem)

What are theorganizationrsquos symbolsand system ofidentification

Do the organisationrsquos visual (and verbal)cues communicate whatwho we areWhatwho we were Whatwho wewish to be A mix of the above Isthere clarity or confusion Does itreflect or possibly inform currentstrategy

Corporatecommunication

Is there integratedcommunication

In relation to management organisationaland marketing communications Arethey integrated in terms ofmanagement philosophy and process

Total corporatecommunications

Is there congruency revertical and horizontalcommunication

Vertical between corporatecommunication corporate actionsperformance and behaviours andbetween third partiesHorizontal asabove but also congruency over time

Corporate image What is the currentperception andorprofile

In relation to the immediate mentalperception of the organisation held byan individual group or network

Corporate reputation What distinctiveattributes (if any) areassigned to theorganisation

The enduring perception held of anorganisation by an individual group ornetwork

Corporate brand What is the promiseinferred fromcommunicated by thebrand

Are these inferences accurate reflected inreality (the promiseperformance gap)shown in management commitment andunderpinnedmade explicit by effectivecommunications Vida supra

Note aThe traditional andor preferred marketing description

EuropeanJournal ofMarketing3534

258

author of this article calls ` the personality deficitrsquorsquo) Over time it is the mix ofsubcultures (corporate professional national etc) present within theorganisation that fills this void and gives it a collective personality albeit apersonality of many different elements (cf Balmer and Wilson 1998)

As Gioia (1998) noted

Like individuals organisations can be viewed as subsuming a multiplicity of identities eachof which is appropriate for a given context or audience Actually at the organisation level thenotion of the multiple identities is perhaps the key (if subtle) point of difference betweenindividuals and organisations

He continued

Thus organisations can plausibly present a complicated multifaceted identity eachcomponent of which is relevant to specific domains or constituents without appearinghopelessly fragmented or ludicrously schizophrenic as an individual might

The notion of multiple identities will be further explored in the 15th reason forthe fog

Second reason for the fog the existence of different paradigmatic viewsvis-aAacute-vis business identityrsquos raison drsquoeAtildetreThere are three distinct perspectives on how the business identity conceptshould be defined and explored The three perspectives are functionalistinterpretative and post-modern Gioia (1998) expounded the nature of thedebate taking place in each of these philosophical schools with regard toorganisational identity Here the modus vivendi is to uncover why and howemployees think and act in relation to their employerorganisation Theseparadigms also inform thought within other fields of business identity and ofcourse management studies generally

The functionalist lens regards business identity as a social fact Consequentlya business identity can be observed moulded and managed The key researchissues centre on uncovering describing and measuring a business identityObservation and psychometric instruments are the preferred research tools

The second paradigm embracing the interpretative perspective has as itsmain focus the understanding of how employees construct meaningsregarding who they are within an organisational environment Businessidentity is viewed as a socially constructed phenomenon with employeesseeking to give some level of meaning to their work existence The researchfocus is to uncover the meanings employees attach to their organisation Thestudy of organisational symbols underlines the methodical approach of thisparadigm

The final component of the troika of perspectives the post-modernparadigm seeks to disclose power-relationships regarding business identityThe emphasis focuses on complexity rather than on simplicity Businessidentity is regarded as a collection of transcendatory perspectives about howorganisational members view themselves Provocation and reflexivity

Corporate identitybranding and

marketing

259

characterise the research process The main research tools are language anddiscourse While such schools may appear to be irreconcilable as Gioia (1998)observes they do give richness to the general understanding of the businessidentity concept as do other perspectives in this nascent area This is a keyleitmotif of this article and the author argues should characterise emerginguacuteuvre pertaining to business identity studies

Third reason for the fog multifarious disciplinary perspectives re business identityThe literatures pertaining to business identity and particularly to corporateidentity organisational identity and visual identification reveal a plethora ofperspectives with regard to first the scope of the various identity conceptsregarding various management disciplines and second the shiftingperspectives relating to the relationships between the three identity conceptsFigure 1 shows the various relationships that have been postulated in theliterature This illustrates the huge disparity between the nature and roAtildele ofidentity studies On closer examination it becomes apparent that some of thenarrower perspectives relate to what is more appropriately called visualidentity The final interdisciplinary approach represents the authorrsquos view thatbusiness identity studies will form the keystone of corporate marketingTaking up the metaphor of the silver lining outlined in the opening paragraphof this article it becomes apparent that while there has been a traditional lackof agreement on the nature and roAtildeles of identity Figure 1 does show that the(business) identity is an omnipresent concept across a whole spectrum ofmanagement and marketing areas

Fourth explanation for the fog a failure to make a distinction between theelements comprising a business identity and the elements to be considered inmanaging a business identityIt should be borne in mind that business identity in its various facets may beseen as concept philosophy and as a process Concept and philosophy will bediscussed in this section and the process will be examined under the fifthexplanation

The literature reveals a lack of consensus as to the elements which constitutea business identity (the business identity mix) as well as a failure to distinguishbetween the elements of the corporate identity management mix

The approach taken by Balmer and Soenen (1999) appears to be the first tomake a clear distinction between first the elements comprising a businessidentity and second the elements required of its management This businessidentity mix embraces a triumvirate of elements termed

(1) the soul (the subjective elements of business identity including thevalues held by personnel which find expression in the plethora ofsub-cultures and the mix of identity types present within organisations)

(2) the mind (the conscious decisions made by the organisation vis-aAacute -vis theespoused organisational ethos vision strategy and productperformance) and

EuropeanJournal ofMarketing3534

260

(3) the voice (this encompasses the multi-faceted way in whichorganisations communicate internally and externally to stakeholdergroups and networks and which is normally called ` total corporatecommunicationsrsquorsquo viz Balmer and Gray (1999)

Figure 1The evolvingrelationships betweencorporate identity andother conceptsdisciplines

Corporate identitybranding and

marketing

261

An additional trio of elements melding with the above form what Balmer andSoenen call the business identity management mix

The additional elements of Balmer and Soenenrsquos identity management mixare environmental forces (the need to take cognisance of this) stakeholders (theneed to be aware of stakeholders) and reputations (encompassing thereputation of the holding company its subsidiaries and business units thecountry-of-origin and the organisationrsquos partners such as alliance partners)

Mention may be made of those other authors who have attempted toarticulate the elements of a business identity These include Birkigt and Stadler(1986) the Mitsubishi Model of Japan (nd) and those by Schmidt (1995) andSteidl and Emory (1997)

Birkigt and Stadlerrsquos (1986) identity mix which is assigned a good deal ofimportance in Van Rielrsquos text (1995) and in a good deal of the subsequentliterature consists of a quartet of elements

(1) personality

(2) behaviour

(3) communication and

(4) symbolism

It would appear that this mix articulates the elements by which a businessidentity is known The mix emphasises the communications effect(s) of anorganisationrsquos behaviour communication policies and visual symbolism Themix is useful in revealing some of the major channels by which a businessidentity may be known and represents a distinct shift away from acategorisation of corporate identity in purely visual terms However incomparison to other more recent approaches it is somewhat narrow in scope

The primary objective of the Mitsubishi mix (nd) is to reveal those elementsthat constitute a business identity As with Balmer and Soenenrsquos (1999) mixthis approach draws on a trio of elements It is clear that a certain lineage maybe inferred between the English and Japanese approaches The Mitsubishi mixis segmented into what is called the mind identity (what the organisation isstriving to achieve) the strategic identity (the type of strategy which will causethe mind identity to become a reality) and the behaviour identity (the range andtypes of behaviour undertaken by the organisation)

Schmidtrsquos (1995) mix originating from the London-based Anglo-Germanconsultancy Henrion Ludlow and Schmidt comprises a quintet of elements

(1) corporate culture

(2) corporate behaviour

(3) market condition and strategies

(4) product and services and

(5) communication and design

EuropeanJournal ofMarketing3534

262

this clearly suggests it is a mix focusing on the management of businessidentity As such the mix takes cognisance of how an identity is revealed(through communications and design) but also assigns importance to marketconditions

Steidl and Emory (1997) have produced what is clearly a business identityrather than a business identity management mix As with Balmer and Soenen itwould appear that these two writers have been in part influenced by SinoNippon approaches to business identity and this is reflected in their choice ofterminology This Australian model is built around another trio of elementsthe mind (the philosophy and strategy through which the organisation securesthe support of customers) the spirit (the values of the organisation and theresponse this evokes amongst key stakeholder groups) and the body (the totalphysical infrastructure which is required to operate the business) Of note hereis the emphasis accorded to ` the bodyrsquorsquo which is not encompassed by the othermodels Rather surprisingly ` the bodyrsquorsquo does not encompass organisationalstructure Thus the author is of the view that a broader interpretationencompassing company structure would appear to be appropriate Theimportance of structure is similarly noted by Balmer and Gray (1999) Ind(1996) Morison (1997) and Stuart (1998a 1999b) The authorrsquos new identitymixes taking cognisance of the above comprises four elements and this isillustrated in Figure 2

Unlike the approaches used by Balmer and Soenen Schmidt and Steidl andEmory it has been decided to break with (at least from a British NorthAmerican and Commonwealth perspective) the practitioner legacy which usesthe human metaphor The four elements comprising this new mix are strategystructure communication and culture

The need to make a distinction between the variables comprising a businessidentity and the task elements to be considered with regard to the managementof a business identity mix is deserving of more attention by both scholars andpractitioners than has been the case to date

The implications of the authorrsquos new mix and those of many of other mixesis that researching a business identity involves using Gioiarsquos (1998 p 26)classification plusmn marrying the interpretive lens (with regard to understandingpersonnelrsquos various affinities to different identities) with the functionalist lens(with regard to the above parts of the mix) Consequently what is required is afurther breaking down of boundaries between research paradigms Thisprocess has implications not only for identity scholarship but also for identityconsultancy and management

Fifth explanation for the fog disagreement with regard to the objectives ofbusiness identity managementThe literature reveals a wide variety of purposes and objectives associated withbusiness identity management Balmerrsquos (1995) initial literature review

Corporate identitybranding and

marketing

263

revealed that corporate identity change programmes were variously used as avehicle to assist in

strategy formulation

culture-change

effective corporate communication

articulating a corporate strategy

articulatingchanging the organisationrsquos culture

acting as a platform for corporate communications and

ensuring that the organisationrsquos visual identity is fashionable

This is indicative of the multidisciplinary nature of the domain with the type ofidentity change reflecting the aspects of the organisationrsquos identity that requireattention

Significantly the effective management of a business identity has beenregarded as imbuing an organisation with a favourable image (cf Abratt 1989

Figure 2Balmerrsquos new identity

mix and identitymanagement mix

EuropeanJournal ofMarketing3534

264

Balmer 1995 Birkigt and Stadler 1986 Dowling 1994 Steidl and Emory 1997Tyrrell 1995 Van Rekom 1997) and more recently the acquisition of afavourable corporate reputation coupled with business survival andprofitability (Balmer and Stotvig 1997 Van Riel and Balmer 1997 Gray andBalmer 1998) The objective of acquiring a favourable corporate image hasfallen out of favour since the concept of the corporate image is fraught withdifficulty (Balmer 1998) The acquisition of a corporate brand on the otherhand has been identified as an objective of corporate identity management(Balmer 1999a) The ICIG statement reproduced in Appendix 1 cites a numberof possible objectives in relation to corporate identity management namely

fostering a sense of individuality

achieving differentiation in a competitive environment

providing disciplinary integration

providing a platform for coherent corporate communication

nurturing an image that is consistent with the organisationrsquos definingethos and character

nurturing understanding and commitment among stakeholders

attracting and retaining customers and employees

achieving strategic alliances and

gaining support of financial markets

Sixth explanation of the fog a traditional lack of dialogue between Anglophoneand non-Anglophone scholars and writersIn addition to the lack of dialogue between scholars from different disciplines anotable feature of the literature on business identity is how linguistic andcultural barriers have exerted an influence in the general understanding of thearea The most dramatic divide is between Anglophone and non-Anglophonenations For instance the literature on business identity emerging frommainland Europe appears to have developed quite independently from theNorth American literature and also from that of the UK and the old (British)Commonwealth and vice versa An example of this is the French school ofthought on corporate identity (Moingeon and Ramanantsoa 1997) TheNetherlands appears to be the exception to the rule owing to the linguisticdexterity of the peoples of that kingdom This can be seen in Van Rielrsquos (1995)influential text Principles of Corporate Communication which contains averitable cornucopia of international sources

Further afield questions of language have hindered our understanding ofSino and Japanese approaches to the area The current understanding ofbusiness identity in `Westernrsquorsquo nations might need to undertake a furtherradical reappraisal in order to accommodate what appear to be substantivedifferences of approach between ` Westernrsquorsquo and ` Asianrsquorsquo scholars of businessidentity Reference has already been made to the Mitsubishi mix According to

Corporate identitybranding and

marketing

265

Steidl and Emory (1997 pp 4-5) the Japanese approach to business identityadopts a radically different manner from that found in other nations They referto Motoo Nakanishi the chairman of one of Japanrsquos foremost businessconsultancies who states that Japanese business identity change programmesare characterised by their longevity in planning and implementation and thatthey are also dependent upon the CEO championing such a change In contrastNakanishi comments that US identity change programmes reflect the characterof the CEO to a greater extent than Asian approaches are similar to Japaneseprogrammes in their reliance on the CEO for their success are more project-orientated and are short-term in scope For their part Johansson and Hirano(1999) point out that in Asia there is a higher degree of parallelism betweenindividual and corporate objectives than in the West cf Balmer and Wilson(1998)

Seventh explanation for the fog the traditional lack of dialogue betweenresearchers from different disciplinesThe business identity literatures encompass distinctive and not so distinctiveschools of thought business communications and corporate communications(Cheney and Christensen 1999 Van Riel 1995) graphic design (Olins 1995Schmidt 1995) image and image-research (Brown 1998 Barich and Kotler1991 Worcester 19861997) marketing (Abratt 1989) organisationalbehaviour (Albert and Whetten 1985 Mael and Ashforth 1992) publicrelations (Grunig 1993) psychology (Bromley 1993) reputation (Fombrun1996) and strategy (Gray and Smeltzer 1985 Marwick and Fill 1997 Morison1997) A multi-disciplinary approach is adopted by Balmer (1995 1998) with astrong marketingcommunications emphasis

Despite the wealth of disciplines the degree of cross fertilisation of ideas andinsights from these literatures is comparatively slight It would appear thatbusiness identity issues have to a large degree matured along narrow verticaland disciplinary paradigms There has been little in the way of multi-disciplinary holistic development This may be placed in the context of thevarious business identity mixes articulated by Balmer and Soenen (1997)Birkigt and Stadler (1986) Schmidt (1995) and Steidl and Emory (1997) thatclearly demand that a broad multi-disciplinary approach be adopted

Mention may also be made of Whetten and Godfreyrsquos (1998) book Identity inOrganisations where academics from a number of disciplines discuss variousfacets of the business identity world However there is a paucity of materialemanating from British Commonwealth and European sources in this text andfor the main little from the marketing literature is marshalled This may becontrasted with the recent marketing literature where organisationalbehaviourists for instance have made a significant contribution

Eighth explanation for the fog the association with graphic designThe importance accorded to graphic design in the business identity literaturehas exacerbated the confusion surrounding the area and may in retrospect be

EuropeanJournal ofMarketing3534

266

seen to have exerted a deleterious influence regarding the conceptualisation ofidentity In the past this has led to the business identity domain being narrowlyconceived Some writers with backgrounds in marketing and communicationhave accorded symbolism the same importance as other business identityelements such as behaviour and communication viz Birkigt and Stadler (1986)The emphasis accorded to graphic design in business identity studies has beenperpetuated by many so-called corporate identity consultancies who are to allintents and purposes graphic design consultancies Research undertaken byMORI revealed that significant numbers of managers in UK and Europe stillequate UK-based corporate identity with graphic design (cf Schmidt 1995)Such has been the influence of graphic design that it has almost becomeaxiomatic that any change of business identity will have an attendant changeof visual identity The author has not to date discovered a case where acorporate identity consultancy advising a client during a business identitychange programme has not as a minimum tweaked the corporate logo This isa curious state of affairs and again raises some profound questions Wolff Olins(Europersquos largest corporate identity consultancy) in their ` Guide to corporateidentityrsquorsquo produced for the UK weekly magazine Marketing (1990 pp 19-24)made this very point

Because of corporate identityrsquos roots in design it will probably entail a new or revised logodesign

With the passing of ten years little appears to have altered For instance themajority of personnel employed by corporate identity consultancies tend tohave a background in graphic design The author is of the view that thegraphic design emphasis ascribed to business identity has thrown the area outof kilter This has had the unfortunate effect of stifling a broader moresophisticated and scholarly appreciation of business identity The distinctcorporate identity and organisational identity literatures although somewhatparvenu in relation to the visual identity literature have without doubt made aprofound contribution to the general understanding of business identity overrecent years What is required is for a more balanced appraisal to take place vis-aAacute -vis the power of visual identity and of graphic design in what is starting to beknown as the corporate identity mixbusiness identity mix What is not refutedby the author is that visual identification does unquestionably have powerVan Riel (1995) pointed out the wide impact of visual communication when hewrote that the average lorry is capable of delivering 7-9 million visualimpressions per year or about 60 per kilometre Empirical work undertaken byMelewar and Saunders (1998) revealed the benefit of standardised globalcorporate visual identity systems Furthermore the use of what is known as` the visual auditrsquorsquo (an examination of the organisationrsquos symbolism and brandstructure) has been shown to be a most effective initial means ofcomprehending an organisationrsquos cultures power-base strategies andcommunication As such the visual audit may provide useful insights into anorganisationrsquos identity

Corporate identitybranding and

marketing

267

However whereas a visual audit may reveal symptoms of inherent corporatemalaise many organisations fall into the trap of resorting to the initiation of anew visual identity as a means of correcting what can be profoundorganisational difficulties This may suggest a degree of naivety on the part ofsome senior managers and consultancies in failing to differentiate between thecauses and the symptoms (visual-identity) of a weak inconsistent negative orunwanted business identity As a result of this approach a number of authorstend to define corporate identity in prosaic terms namely ` what anorganisation isrsquorsquo While inadequate as a definition it does help to distance thearea from the narrow graphic design perspective

The emphasis on the visual has had another unfortunate effect in cloudingover the importance of the other senses of sound scent taste and touch Itwould be perverse to suggest that visually impaired customers employees orinvestors are unable to recognise differentiate between or form opinions oforganisations Upon reflection it becomes apparent that the non-visual sensescan be just as powerful in communicating the identity of a collective group Forexample the aural sense has a dominant role in the recognition of the identitiesof radio stations The aural sense also helps to differentiate one nation statefrom another via the use of languages and national anthems Important lessonscan in this regard be learned from ancient institutions such as the CatholicChurch which marshals all the senses to forge an impressive panoply ofsignals to support the Catholic Churchrsquos tenets and beliefs Although theCatholic Church has in recent years offered a somewhat flaccid version of itsidentity it is still possible to experience the effect of marshalling of all thesenses in an experience which is unique to the Catholic faith Thus at atraditional solemn celebration of the liturgy at Londonrsquos Brompton Oratorythe churchrsquos distinctiveness is communicated through among otherssymbolism (vestments church furnishings architecture posture of clergy andlaity) sound (Latin Gregorian chant and polyphony) smell (incense) touch(holy water) and taste (taking the sacrament)

Ninth explanation for the fog the effect of fashionVagaries in fashion in the use of concepts have played their part in thickeningthe fog surrounding the area A would-be scholar of business identity studieshas to show a good deal of perspicacity not only in accommodating the richvariety of concepts in use but also in exerting acute vigilance in theirassessment of what he or she understands by the concept The effects offashion can clearly be seen in the 1950s and 1960s when much attention wasfocused on the concept of the ` corporate imagersquorsquo Yet in the 1970s ` corporateidentityrsquorsquo grew in popularity and to some degree was used in preference to` corporate imagersquorsquo The corporate identityconcept was not only used as asurrogate for ` image managementrsquorsquo but has been viewed by some authors suchas Dowling (1994) as being fundamentally concerned with visual identityOthers saw the concept as embracing the distinct characteristics of anorganisation (Van Riel and Balmer 1997) In recent years reference to the

EuropeanJournal ofMarketing3534

268

` corporate brandrsquorsquo or what is sometimes termed ` service brandingrsquorsquo (cf Balmer1995 De Chernatony 1999) has replaced reference to ` corporate identityrsquorsquo Ofparticular note is corporate reputation which as a concept has been in theascendant over recent years and has almost eclipsed references to the corporateimage in the literature and in management parlance What is apparent is thattoo many practitioners and some scholars have tended to regard the emergenceof a new concept as a replacement to what has gone before rather thanconsidering each new concept for its potential in building on what preceded itand furthering therefore the general understanding of the creationmanagement and saliency of business identity

Tenth explanation for the fog the inappropriateness of the positivistic researchparadigm in the initial stage of theory generation vis-aAacute-vis identityUndue attention has been given to measuring the outcomes and benefits ofeffective business identity management Providing a firm foundation regardingthe nature andor driving forces of business identity will do much to lift the fogsurrounding the area In this regard the research paradigm of naturalism isperhaps more appropriate than positivism in explaining a phenomenon such ascorporate identity which has not previously been subjected to a great deal ofempirical research viz Van Mannen (1985) Case studies can also be usefulwith regard to theory building research in the field of corporate identity Oliver(1997) argued the importance of case study research albeit in relation tocorporate communication and stated that formal theories do develop from casestudies Oliver is supported in her view by others including Gill and Johnson(1991) and Yin (1984)

While some caution needs to be applied to the maxim found in VirgilrsquosAeneid ` ab uno disce omnesrsquorsquo (from one learn all) it would perhaps be equallyperverse to suggest the opposite that nothing is gained from the findings ofcase studies This is after all the modus operandi underpinning HarvardBusiness Schoolrsquos pedagogical approach

Deshpande (1983) notes that quantitative methods are more suitable fortheory testing than theory generation Vankatesh (1985 p 62) commented thatthe emphasis on empirical research data analysis and quantitative modellingoffers little potential for theory generation As such the author argues thatmarketing scholars should give a greater emphasis to qualitative and casestudy research

Eleventh explanation for the fog the paucity of empirical academic researchThree reasons are postulated by the writer as to why there has been a lack ofpublished empirical research

(1) Until recently the traditional lack of interest from all but a fewmanagement academics

(2) The difficulty in getting published in mainstream management journals

(3) The difficulty in undertaking research into corporate identity

Corporate identitybranding and

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269

Invariably business identity issues encompass issues that are of particularsensitivity and have fundamental importance to organisations and their seniormanagement Therefore researchers are likely to experience acute difficulty inresearching changes of business identity which probe into the quintessence ofan organisationrsquos existence and which can propel to the fore issues of greatsensitivity and political importance In addition new scholars are likely to havethe wherewithall to extrapolate data and disseminate their findings throughlearned journals

Although this traditionally has been the case it is difficult to say whetherthis is a cause or effect vis-aAacute -vis points (1) to (3) Perhaps all elements have madea contribution What is encouraging is that more scholars are embarking onresearch into this business identity and this is represented in the burgeoningnumber of candidates embarking upon doctoral research in corporate identitySignificant empirical research to date includes that by Balmer and Wilson(1998) relating to the BBC and a major UK high street bank Dutton andDukerichrsquos (1991) research on the New York port authority Elsbach andKramerrsquos (1996) research in US universities Gioia and Thomasrsquos (1996)investigation relating to universities and Van Rekomrsquos (1997) study focusing ona sector of the Dutch tourism industry

Twelfth explanation for the fog undue focus being accorded to the businessidentities of holding companiesparent organisationsThe literature reveals a bias towards the identities of holding or parentcompanies with insufficient attention being given to the identities ofsubsidiaries as well as to industrial identities alliances licensing arrangementsand to federal types of organisational structures An exception to the latter wasBalmerrsquos (1996) research which focused on BBC Scotland plusmn a subsidiary of theBBC The emphasis accorded to the identities of parent organisations hasperhaps resulted in a far too simplistic categorisation regarding therelationship between subsidiaries business units and the holding companyThis can be seen in Olinsrsquos (1978) highly influential tripartite categorisation ofbusiness identities which he calls monolithic endorsed and brandedAlthough this is a useful basic classification it disguises the fact that parent-subsidiary relationships are invariably more complicated as evinced byKammerer (1989) Furthermore insufficient attention is given to the industry-wide generic identities with the exception of Balmer and Wilkinson (1991) andWilkinson and Balmer (1996)

Upon reflection there are other identity types such as the identity ofalliances including the ` Starrsquorsquo ` One Worldrsquorsquo and ` Wingsrsquorsquo airline alliances theidentity of consortiums such as the European Airbus and the sharing of abrand name by several important companies Examples include the Hiltonbrand name which is shared by Hilton Hotel of the USA and Ladbrokes of theUK the Rolls-Royce brand licensed to car manufacturers VWBMW(Germany) by the UK aero-engines group Rolls-Royce the multiplicity ofidentities subsumed beneath the umbrella of the Virgin brand and the Co-op

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270

brand in the UK which serves as an umbrella brand for its labyrinthicorganisational structure The simplistic approach to organisational structureand strategy outlined above and the graphic design bias has in the authorrsquosopinion served to obfuscate business identityrsquos palpable affinity with corporatestrategy

Thirteenth explanation for the fog the emphasis assigned to Anglo-Saxonforms of business structuresFor the main the various literatures of business identity focus on Anglo-Saxonforms of business identity which is characterised by short termism and whereshareholders are accorded particular importance Little has appeared inEuropean journals with regard to non Anglo-Saxon forms of businessidentities As such it would appear that undue emphasis is accorded to verticalrather than to horizontal organisational structures

There is prima facie case to suggest that existing Anglo-Saxon theories ofbusiness identity are inappropriate to certain organisational structuresoperating in other countries due to cultural and economic reasons This canperhaps be most clearly seen in Japan and Korea The traditional Japanesekeiretsu structure which encompasses well known brand names such asMitsubishi Mitsui and Sumitomo differ from their Anglo-Saxon counterpartsin that they invariably include financial services companies that can providefinance to other members of the keiretsu Typically each keiretsu structurecontains

a commercial bank a trust bank and a life insurance company

each group contains a trading company which supports other membersof the group through the provision of such things as intelligence andproject management

there is cross-shareholdings of such groups which makes it difficult fora member of the group to be threatened with an aggressive take-over

in times of crisis members of the kieretsu group will provide supportfinancial or service to the beleaguered company and finally

there is a leading group of companies

The Korean chaebol structure is similar to the Japanese keiretsu structure withthe exception that first members of the founding family still in some instancesmanage the company and second the chaebol does not contain powerfulfinancial institutions or trading companies

What is clear from the above illustration is that Eastern businessrelationships are more complicated than those witnessed in many Anglo-Saxoncompanies that the visualbranding structure is invariably applied to a familyof more or less autonomous companies rather than to a single commercialconcern that the notion of internal communications takes on a particularlyimportant role vis-aAacute -vis communication between members of the kieretsuchaebol and that the external communication is more complicated This is

Corporate identitybranding and

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271

because each company of the group not only needs to support its own corporatecommunication efforts and reputation but also that of the group Here thegrouprsquos reputation will appear to act as a powerful control mechanismBalmerrsquos (1998) DEAR Model (Decisions are Evaluated Against theorganisationrsquosgrouprsquos Reputation) may be of use in this regard

It is important to recall that there are other forms of organisational structureoperating in the West other than Anglo-Saxon structures One approachprevalent in southern Europe and termed ` the Latin approachrsquorsquo is according toCova and Aubert-Gamet (1997) based on the view that marketing institutionsare less effective than proximate communities influencing peoplesrsquo behaviourCova coined the term ` societingrsquorsquo to encapsulate this approach A case in pointis the Rhine model of organisations which for obvious reasons is prevalent inthose nations bordering the Rhine Here there are flatter more community-focused structures

In Germany businesses are not dominated by big brand names In a 1989survey for Business Week Germany accounted for only 3 per cent of the worldrsquos1000 largest companies Germanyrsquos strength (and also that of Northern Italy)rests in its Mittelstand These are small to medium-sized family businesses InGermany the characteristics of such companies are

family owned

financiers or investors are not owners or controllers of the companies

the objective is long term survival and

stakeholdersrsquo groupings cannot so easily be broken down into internaland external stakeholders

Interestingly concern is shown to stakeholders of the future Table IV providesa summation of the Anglo-Saxon and the Rhine and Asian approaches

Fourteenth explanation of the fog weaknesses in early traditional marketingmodels of corporate identitycorporate image management and formationThe fourteenth weakness identified by the writer is the weaknesses in many ofthe more influential conceptual models of corporate imageidentityreputationformation (Abratt 1989 Dowling 1986 1993 and Kennedy 1977) It wouldappear that in some of these models the writers confuse corporate identity withcorporate image While the writer is critical of some of the models each of themmakes a valuable contribution to the debate on the area Certainly several ofthese models were at the cutting edge of the debate on the area at the time theywere published These four models will be examined in turn

Abrattrsquos model (1989)Abrattrsquos conceptual and prescriptive model has the objective of explaining thecorporate image management process and adopts an ` outside inrsquorsquo focus (animage reputation focus) rather than an inside out (an identity personalityfocus) Abrattrsquos model is most useful in that it attempts to integrate the

EuropeanJournal ofMarketing3534

272

problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

marketing

273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

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274

challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

marketing

275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

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276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

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286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

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marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

EuropeanJournal ofMarketing3534

288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 6: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

Corporate identitybranding and

marketing

253

Table IIOverview of the main

concepts

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Cor

por

ate

bra

nd

Aak

er(1

996)

B

alm

er(1

995

1999

)In

d(1

996)

D

eC

her

nat

ony

(199

9)G

regor

y(1

997)

K

apfe

rer

(199

2)K

ing

(199

1)

Mac

rae

(199

9)M

aath

ius

(199

9)IC

IGSta

tem

ent

(See

Appen

dix

1)

(a)

The

acquis

itio

nof

afa

vou

rable

corp

orat

ebra

nd

isan

espou

sed

obje

ctiv

eof

busi

nes

sid

enti

tym

anag

emen

tA

corp

orat

ebra

nd

pro

pos

itio

nsh

ould

be

der

ived

from

the

organ

isat

ionrsquos

iden

tity

(b

)T

he

corp

orat

ebra

nd

mix

consi

sts

ofcu

ltura

lin

tric

ate

tangib

lean

det

her

eal

elem

ents

`C2IT

Ersquorsquo

(Bal

mer

20

00)

Inth

isar

ticl

eco

mm

itm

ent

has

bee

nad

ded

asa

fift

hel

emen

tT

his

isbec

ause

aco

rpor

ate

bra

nd

requir

esco

mm

itm

ent

from

all

staf

fas

wel

las

com

mit

men

tfr

omse

nio

rm

anag

emen

tan

din

finan

cial

suppor

tT

he

corp

orat

ebra

nd

conce

pt

isre

late

dto

the

conce

pts

ofco

rpor

ate

reputa

tion

and

corp

orat

eim

age

whic

har

eal

soto

som

edeg

ree

conce

rned

wit

hper

cepti

on

Vid

ein

fraU

nlike

pro

duct

bra

nds

the

focu

sof

corp

orat

ebra

nds

ison

(i)

all

inte

rnal

and

exte

rnal

stak

ehol

der

san

dnet

wor

ks

(ii)

bas

edon

abro

ader

mix

than

the

trad

itio

nal

mar

ket

ing

mix

and

(iii)

isex

per

ience

dan

dco

mm

unic

ated

thro

ugh

tota

lco

rpor

ate

com

munic

atio

nra

ther

than

sim

ply

via

the

mar

ket

ing

com

munic

atio

ns

mix

V

ide

infr

a

Cor

por

ate

com

munic

atio

nan

dto

tal

corp

orat

eco

mm

unic

atio

ns

Aber

g(1

990)

B

alm

eran

dG

ray

(199

9)

Ber

nst

ein

(198

4)In

d(1

996)

IC

IGSta

tem

ent

(see

Appen

dix

1)

(a)

The

chan

nel

sby

whic

ha

busi

nes

sid

enti

tyis

mad

eknow

nto

inte

rnal

and

exte

rnal

stak

ehol

der

san

dnet

wor

ks

and

whic

htr

ansl

ates

over

tim

ein

toth

eac

quis

itio

nof

aco

rpor

ate

reputa

tion

cor

por

ate

bra

nd

reputa

tion

(b

)V

anR

ielrsquos

infl

uen

tial

corp

orat

eco

mm

unic

atio

nm

ixen

com

pas

ses

(i)

man

agem

ent

(ii)

organ

isat

ional

and

(iii)

mar

ket

ing

com

munic

atio

ns

Aber

gan

dB

ernst

ein

bro

aden

edth

e`c

orpor

ate

com

munic

atio

ns

mix

rsquorsquoan

din

cluded

elem

ents

such

asco

mpan

ypro

duct

san

dbeh

avio

ur

Bal

mer

expan

ded

Van

Rie

lrsquosco

nce

pt

toen

com

pas

sth

ose

com

munic

atio

nel

emen

tsw

hic

hca

nnot

be

contr

olle

den

titl

ing

this

`tot

alco

rpor

ate

com

munic

atio

nsrsquo

rsquoB

alm

eran

dG

ray

concl

uded

that

tota

lco

rpor

ate

com

munic

atio

ns

consi

sted

ofth

ree

elem

ents

(i)

pri

mar

yco

mm

unic

atio

n(t

he

com

munic

atio

nef

fect

sof

pro

duct

san

dof

corp

orat

ebeh

avio

ur)

(ii)

seco

ndar

yco

mm

unic

atio

n(in

esse

nce

Van

Rie

lrsquosm

ix)

(iii)

tert

iary

com

munic

atio

n(w

ord-o

f-m

outh

and

mes

sages

impar

ted

abou

tth

eor

gan

isat

ion

from

thir

dpar

ties

)(c

onti

nued

)

EuropeanJournal ofMarketing3534

254

Table II

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Cor

por

ate

iden

tity

Abra

tt(1

989)

B

alm

er(1

998)

B

alm

eran

dW

ilso

n(1

998)

B

irkig

tan

dSta

dle

r(1

986)

O

lins

(199

5)Sch

mid

t(1

995)

Ste

idl

and

Em

ory

(199

7)

Stu

art

(199

8a19

98b

1999

a)T

agiu

ri(1

982)

T

yre

ll(1

995)

V

anR

ekom

(199

7)

Van

Rie

l(1

995)

V

anR

iel

and

Bal

mer

(199

7)W

iedm

ann

(198

8)

ICIG

Sta

tem

ent

(See

Appen

dix

1)

(a)

The

mix

ofel

emen

tsw

hic

hgiv

esor

gan

isat

ions

thei

rdis

tinct

iven

ess

the

foundat

ion

ofbusi

nes

sid

enti

ties

(b

)A

lthou

gh

ther

eis

still

ala

ckof

conse

nsu

sas

toth

ech

arac

teri

stic

sof

aco

rpor

ate

iden

tity

au

thor

sdo

for

the

mai

nem

phas

ise

the

impor

tance

ofse

ver

alel

emen

tsin

cludin

gcu

lture

(wit

hst

aff

seen

tohav

ean

affi

nit

yto

mult

iple

form

sof

iden

tity

)st

rate

gy

stru

cture

his

tory

busi

nes

sac

tivit

ies

and

mar

ket

scop

eT

he

abov

eper

spec

tive

ofth

eco

rpor

ate

iden

tity

conce

pt

isbec

omin

gm

ore

com

mon

wit

hin

mai

nla

nd

Euro

pe

the

UK

and

the

Bri

tish

Com

mon

wea

lth

espec

ially

thos

efr

oma

mar

ket

ingc

omm

unic

atio

ns

bac

kgro

und

(Oft

en

corp

orat

eid

enti

tyis

erro

neo

usl

yuse

dw

hen

refe

rrin

gto

vis

ual

iden

tity

V

ide

Infr

a)

Org

anis

atio

nal

iden

tity

Alb

ert

and

Whet

ten

(198

5)

Ash

fort

han

dM

ael

(198

9)

Dutt

onet

al

(199

4)H

atch

and

Sch

ult

z(1

997)

W

het

ten

and

God

frey

(199

8)

(a)

Akey

elem

ent

giv

ing

busi

nes

sid

enti

tyit

sdis

tinct

iven

ess

(vid

esu

pra

plusmnco

rpor

ate

iden

tity

and

vide

infr

aplusmn

corp

orat

eper

sonal

ity)

(b)

Ref

ers

tow

hat

emplo

yee

sfe

elan

dth

ink

abou

tth

eir

organ

isat

ionF

ocuse

son

ques

tion

sre

lati

ng

toor

gan

isat

ional

cult

ure

A

lber

tan

dW

het

tenrsquos

infl

uen

tial

def

init

ion

ofor

gan

isat

ional

iden

tity

refe

rsto

thos

ech

arac

teri

stic

sof

anor

gan

isat

ion

whic

har

ece

ntr

alen

duri

ng

and

dis

tinct

ive

How

ever

th

ere

ishea

ted

deb

ate

amon

gst

organ

isat

ional

beh

avio

uri

sts

regar

din

gA

lber

tan

dW

het

tenrsquos

cate

gor

isat

ion

ofor

gan

isat

ional

iden

tity

R

elat

ionsh

ipw

ith

corp

orat

eid

enti

tyis

beg

innin

gto

be

explo

red

but

the

mar

ket

ing

per

spec

tive

espec

ially

from

the

Com

mon

wea

lth

and

Euro

pe

has

mad

elitt

lein

the

way

ofin

road

sw

ith

Nor

ther

nA

mer

ican

schol

ars

Appea

rsto

hav

em

any

sim

ilar

char

acte

rist

ics

wit

hth

eco

nce

pt

ofco

rpor

ate

per

sonal

ity

and

wit

hco

rpor

ate

cult

ure

(cf

Fio

let

al

(199

9)vi

de

infr

a

Itsh

ould

be

bor

ne

inm

ind

that

cult

ure

isso

met

imes

vie

wed

asa

var

iable

inco

rpor

ate

iden

tity

form

atio

n

(con

tinued

)

Corporate identitybranding and

marketing

255

Table II

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Vis

ual

iden

tity

Bal

mer

(199

5)B

aker

and

Bal

mer

(199

7)

Chaj

etet

al

(199

3)

Dow

ling

(199

4)

Hen

rion

and

Par

kin

(196

7)M

elew

aran

dSau

nder

s(1

998

1999

)N

apol

es(1

988)

O

lins

(197

819

79)

Pildit

ch(1

971)

Je

nkin

s(1

991)

Sel

ame

and

Sel

ame

(197

5)

Sim

pso

n(1

979)

Ste

war

t(1

991)

(a)

One

mea

ns

by

whic

ha

busi

nes

sid

enti

tym

aybe

know

nor

in

dee

d

dis

guis

ed

An

audit

ofan

organ

isat

ionrsquos

sym

bol

ism

can

also

hel

pin

giv

ing

insi

ghts

into

anor

gan

isat

ionrsquos

corp

orat

eid

enti

tyo

rgan

isat

ional

iden

tity

T

he

mos

tpro

min

ent

aspec

tof

abusi

nes

sid

enti

tych

ange

pro

gra

mm

eT

he

only

par

tof

abusi

nes

sid

enti

tyw

hic

hca

nbe

effe

ctiv

ely

contr

olle

dby

senio

rm

anag

emen

t(b

)B

alm

errsquos

anal

ysi

sof

the

lite

ratu

rere

vea

led

that

auth

ors

ascr

ibe

four

funct

ions

tovis

ual

iden

tity

inth

atit

is(i)

use

dto

signal

chan

ge

inco

rpor

ate

stra

tegy(ii)

cult

ure

an

d(iii)

com

munic

atio

nSom

etim

esch

anges

are

under

taken

inor

der

toac

com

mod

ate

(iv)

chan

ges

infa

shio

nw

ith

regar

dto

gra

phic

des

ignO

linsrsquo

use

ful

cate

gor

isat

ion

ofvis

ual

iden

tity

into

mon

olit

hic

en

dor

sed

and

bra

nded

cate

gor

ies

has

bee

nw

idel

yad

opte

din

the

lite

ratu

reev

enth

oughas

Olins

adm

its

itra

rely

refl

ects

organ

isat

ional

real

ity

Cor

por

ate

imag

eA

bra

tt(1

989)

B

ernst

ein

(198

4)

Bro

wn

(199

8)

Bri

stol

(196

0)B

oors

ein

(196

1)

Bou

ldin

g(1

956)

B

udd

(196

9)C

raven

(198

6)

Dow

ling

(198

6)G

ray

(198

6)

Gra

yan

dSm

elze

r(1

985)

G

ray

and

Bal

mer

(199

8)G

runig

(199

3)K

enned

y(1

997)

L

indquis

t(1

974)

M

arti

nea

u(1

958)

Spec

tor

(196

1)V

anH

eerd

enan

dP

uth

(199

5)

Van

Rie

l(1

995)

W

orce

ster

(198

619

97)

(a)

One

ofth

ees

pou

sed

obje

ctiv

esof

effe

ctiv

ely

(or

non

-eff

ecti

vel

y)

man

agin

ga

busi

nes

sid

enti

tyie

th

ecr

eati

onof

apos

itiv

e(o

rneg

ativ

e)im

age

(b)

Ther

ear

eth

ree

bro

ad

dis

ciplinar

yap

pro

aches

toco

rpor

ate

imag

edra

wn

from

psy

chol

ogygra

phic

des

ign

and

from

public

rela

tion

sse

eB

row

n(1

998)

and

Bal

mer

(199

8)T

he

conce

pt

isim

por

tant

but

ispro

ble

mat

icdue

toth

em

ult

iplici

tyof

inte

rpre

tati

ons

and

neg

ativ

eas

soci

atio

ns

Ques

tion

sre

lati

ng

toit

s`m

anag

emen

trsquorsquoar

ein

her

entl

ypro

ble

mat

icC

once

pt

has

larg

ely

bee

nec

lipse

dby

that

ofth

eco

rpor

ate

reputa

tion

bot

hin

the

lite

ratu

rean

din

man

agem

ent

par

lance

V

ide

infr

a

(conti

nued

)

EuropeanJournal ofMarketing3534

256

Table II

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Cor

por

ate

per

sonal

ity

Abra

tt(1

989)

B

alm

eran

dW

ilso

n(1

998)

B

irkig

tan

dSta

dle

r(1

986)

L

ux

(198

6)

Olins

(197

8)V

anR

iel

and

Bal

mer

(199

7)

(a)

Akey

elem

ent

whic

hgiv

esa

busi

nes

sid

enti

tyit

sdis

tinct

iven

ess

and

rela

tes

toth

eat

titu

des

and

bel

iefs

ofth

ose

wit

hin

the

organ

isat

ion

Ther

efor

eth

ere

appea

rsto

be

apri

me

faci

eca

sefo

rlinkin

gth

eco

nce

pt

toor

gan

isat

ional

iden

tity

and

toth

eco

nce

pt

ofco

rpor

ate

cult

ure

V

ide

supra

(b

)O

lins

pos

tula

ted

that

anor

gan

isat

ionrsquos

cult

ure

invar

iably

dev

elop

sar

ound

the

organ

isat

ionrsquos

founder

and

afte

rth

efo

under

rsquosdep

artu

rere

quir

esm

anag

emen

tat

tenti

onin

order

tofi

llw

hat

the

auth

orca

lls

`the

per

sonal

ity

def

icit

rsquorsquoA

uth

ors

who

refe

rto

the

conce

pt

inth

eir

wri

ting

orm

odel

spla

ceth

eco

nce

pt

per

sonal

ity

atth

ece

ntr

eof

busi

nes

sid

enti

ty

The

BB

Cst

udy

under

taken

by

Bal

mer

lead

sto

the

concl

usi

onth

atth

eco

rpor

ate

per

sonal

ity

refe

rsto

the

mix

ofco

rpor

ate

pro

fess

ional

re

gio

nal

and

other

sub-c

ult

ure

sin

organ

isat

ions

and

that

this

`cult

ura

lm

ixrsquorsquo

isa

key

elem

ent

ingiv

ing

dis

tinct

iven

ess

tobusi

nes

sid

enti

ties

C

lear

links

wit

hth

e`d

iffe

renti

atio

npar

adig

mof

cult

ura

lst

udie

srsquorsquo

Org

anis

atio

nal

iden

tifi

cati

onis

per

hap

sa

pre

fera

ble

conce

pt

inlight

ofth

edif

ficu

ltie

sas

soci

ated

wit

hth

enot

ion

that

organ

isat

ions

hav

ea

per

sonal

ity

inth

esa

me

way

that

hum

ans

do

This

conce

pt

has

also

suff

ered

asa

conse

quen

ceof

the

vag

arie

sof

fash

ion

Cor

por

ate

reputa

tion

Bro

mle

y(1

993)

C

aruan

aan

dC

hir

cop

(200

0)

Fom

bru

n(1

996)

F

ombru

nan

dV

anR

iel

(199

7)G

ray

and

Bal

mer

(199

8)

Gre

yse

r(1

999)

Sob

olan

dF

arre

ll(1

988)

W

eigel

tan

dC

amer

er(1

988)

(a)

One

obje

ctiv

eof

effe

ctiv

ebusi

nes

sid

enti

tym

anag

emen

tis

the

acquis

itio

nof

afa

vou

rable

reputa

tion

amon

gkey

stak

ehol

der

gro

ups

This

isbel

ieved

togiv

eth

eor

gan

isat

ion

aco

mpet

itiv

ead

van

tage

(b)

Fom

bru

nan

dV

anR

iel

pro

vid

esi

xca

tegor

isat

ions

ofco

rpor

ate

reputa

tion

sre

flec

ting

the

six

dis

tinct

lite

ratu

res

onth

ear

eaw

hic

hvar

iousl

yfo

cus

onit

sfi

nan

cial

wor

th

its

trai

tsan

do

rsi

gnal

sit

sfo

rmat

ion

reputa

tion

alex

pec

tati

ons

and

nor

ms

and

onre

puta

tion

alas

sets

and

mob

ilit

ybar

rier

s

Corporate identitybranding and

marketing

257

Table IIIThe saliency of

identity and relatedconcepts in addressing

major organisationalconcerns

Concept Addresses key question Commentsexplanations

Corporate identity What are we Also involves addressing a series ofquestions including What is ourbusinessstructurestrategyethosmarketperformancehistory andreputationrelationships to otheridentities

Organisationalidentity (corporatepersonality)a

Who are we The mix of dominantascendantsubcultures withintranscending theorganisation Employeesrsquo relationshipswith myriad organisational identities(holding company subsidiaryiesdepartments original current andemergent identities) Professionalcultural industrial sexual identitiesetc

Visual identity (visualidentificationsystem)

What are theorganizationrsquos symbolsand system ofidentification

Do the organisationrsquos visual (and verbal)cues communicate whatwho we areWhatwho we were Whatwho wewish to be A mix of the above Isthere clarity or confusion Does itreflect or possibly inform currentstrategy

Corporatecommunication

Is there integratedcommunication

In relation to management organisationaland marketing communications Arethey integrated in terms ofmanagement philosophy and process

Total corporatecommunications

Is there congruency revertical and horizontalcommunication

Vertical between corporatecommunication corporate actionsperformance and behaviours andbetween third partiesHorizontal asabove but also congruency over time

Corporate image What is the currentperception andorprofile

In relation to the immediate mentalperception of the organisation held byan individual group or network

Corporate reputation What distinctiveattributes (if any) areassigned to theorganisation

The enduring perception held of anorganisation by an individual group ornetwork

Corporate brand What is the promiseinferred fromcommunicated by thebrand

Are these inferences accurate reflected inreality (the promiseperformance gap)shown in management commitment andunderpinnedmade explicit by effectivecommunications Vida supra

Note aThe traditional andor preferred marketing description

EuropeanJournal ofMarketing3534

258

author of this article calls ` the personality deficitrsquorsquo) Over time it is the mix ofsubcultures (corporate professional national etc) present within theorganisation that fills this void and gives it a collective personality albeit apersonality of many different elements (cf Balmer and Wilson 1998)

As Gioia (1998) noted

Like individuals organisations can be viewed as subsuming a multiplicity of identities eachof which is appropriate for a given context or audience Actually at the organisation level thenotion of the multiple identities is perhaps the key (if subtle) point of difference betweenindividuals and organisations

He continued

Thus organisations can plausibly present a complicated multifaceted identity eachcomponent of which is relevant to specific domains or constituents without appearinghopelessly fragmented or ludicrously schizophrenic as an individual might

The notion of multiple identities will be further explored in the 15th reason forthe fog

Second reason for the fog the existence of different paradigmatic viewsvis-aAacute-vis business identityrsquos raison drsquoeAtildetreThere are three distinct perspectives on how the business identity conceptshould be defined and explored The three perspectives are functionalistinterpretative and post-modern Gioia (1998) expounded the nature of thedebate taking place in each of these philosophical schools with regard toorganisational identity Here the modus vivendi is to uncover why and howemployees think and act in relation to their employerorganisation Theseparadigms also inform thought within other fields of business identity and ofcourse management studies generally

The functionalist lens regards business identity as a social fact Consequentlya business identity can be observed moulded and managed The key researchissues centre on uncovering describing and measuring a business identityObservation and psychometric instruments are the preferred research tools

The second paradigm embracing the interpretative perspective has as itsmain focus the understanding of how employees construct meaningsregarding who they are within an organisational environment Businessidentity is viewed as a socially constructed phenomenon with employeesseeking to give some level of meaning to their work existence The researchfocus is to uncover the meanings employees attach to their organisation Thestudy of organisational symbols underlines the methodical approach of thisparadigm

The final component of the troika of perspectives the post-modernparadigm seeks to disclose power-relationships regarding business identityThe emphasis focuses on complexity rather than on simplicity Businessidentity is regarded as a collection of transcendatory perspectives about howorganisational members view themselves Provocation and reflexivity

Corporate identitybranding and

marketing

259

characterise the research process The main research tools are language anddiscourse While such schools may appear to be irreconcilable as Gioia (1998)observes they do give richness to the general understanding of the businessidentity concept as do other perspectives in this nascent area This is a keyleitmotif of this article and the author argues should characterise emerginguacuteuvre pertaining to business identity studies

Third reason for the fog multifarious disciplinary perspectives re business identityThe literatures pertaining to business identity and particularly to corporateidentity organisational identity and visual identification reveal a plethora ofperspectives with regard to first the scope of the various identity conceptsregarding various management disciplines and second the shiftingperspectives relating to the relationships between the three identity conceptsFigure 1 shows the various relationships that have been postulated in theliterature This illustrates the huge disparity between the nature and roAtildele ofidentity studies On closer examination it becomes apparent that some of thenarrower perspectives relate to what is more appropriately called visualidentity The final interdisciplinary approach represents the authorrsquos view thatbusiness identity studies will form the keystone of corporate marketingTaking up the metaphor of the silver lining outlined in the opening paragraphof this article it becomes apparent that while there has been a traditional lackof agreement on the nature and roAtildeles of identity Figure 1 does show that the(business) identity is an omnipresent concept across a whole spectrum ofmanagement and marketing areas

Fourth explanation for the fog a failure to make a distinction between theelements comprising a business identity and the elements to be considered inmanaging a business identityIt should be borne in mind that business identity in its various facets may beseen as concept philosophy and as a process Concept and philosophy will bediscussed in this section and the process will be examined under the fifthexplanation

The literature reveals a lack of consensus as to the elements which constitutea business identity (the business identity mix) as well as a failure to distinguishbetween the elements of the corporate identity management mix

The approach taken by Balmer and Soenen (1999) appears to be the first tomake a clear distinction between first the elements comprising a businessidentity and second the elements required of its management This businessidentity mix embraces a triumvirate of elements termed

(1) the soul (the subjective elements of business identity including thevalues held by personnel which find expression in the plethora ofsub-cultures and the mix of identity types present within organisations)

(2) the mind (the conscious decisions made by the organisation vis-aAacute -vis theespoused organisational ethos vision strategy and productperformance) and

EuropeanJournal ofMarketing3534

260

(3) the voice (this encompasses the multi-faceted way in whichorganisations communicate internally and externally to stakeholdergroups and networks and which is normally called ` total corporatecommunicationsrsquorsquo viz Balmer and Gray (1999)

Figure 1The evolvingrelationships betweencorporate identity andother conceptsdisciplines

Corporate identitybranding and

marketing

261

An additional trio of elements melding with the above form what Balmer andSoenen call the business identity management mix

The additional elements of Balmer and Soenenrsquos identity management mixare environmental forces (the need to take cognisance of this) stakeholders (theneed to be aware of stakeholders) and reputations (encompassing thereputation of the holding company its subsidiaries and business units thecountry-of-origin and the organisationrsquos partners such as alliance partners)

Mention may be made of those other authors who have attempted toarticulate the elements of a business identity These include Birkigt and Stadler(1986) the Mitsubishi Model of Japan (nd) and those by Schmidt (1995) andSteidl and Emory (1997)

Birkigt and Stadlerrsquos (1986) identity mix which is assigned a good deal ofimportance in Van Rielrsquos text (1995) and in a good deal of the subsequentliterature consists of a quartet of elements

(1) personality

(2) behaviour

(3) communication and

(4) symbolism

It would appear that this mix articulates the elements by which a businessidentity is known The mix emphasises the communications effect(s) of anorganisationrsquos behaviour communication policies and visual symbolism Themix is useful in revealing some of the major channels by which a businessidentity may be known and represents a distinct shift away from acategorisation of corporate identity in purely visual terms However incomparison to other more recent approaches it is somewhat narrow in scope

The primary objective of the Mitsubishi mix (nd) is to reveal those elementsthat constitute a business identity As with Balmer and Soenenrsquos (1999) mixthis approach draws on a trio of elements It is clear that a certain lineage maybe inferred between the English and Japanese approaches The Mitsubishi mixis segmented into what is called the mind identity (what the organisation isstriving to achieve) the strategic identity (the type of strategy which will causethe mind identity to become a reality) and the behaviour identity (the range andtypes of behaviour undertaken by the organisation)

Schmidtrsquos (1995) mix originating from the London-based Anglo-Germanconsultancy Henrion Ludlow and Schmidt comprises a quintet of elements

(1) corporate culture

(2) corporate behaviour

(3) market condition and strategies

(4) product and services and

(5) communication and design

EuropeanJournal ofMarketing3534

262

this clearly suggests it is a mix focusing on the management of businessidentity As such the mix takes cognisance of how an identity is revealed(through communications and design) but also assigns importance to marketconditions

Steidl and Emory (1997) have produced what is clearly a business identityrather than a business identity management mix As with Balmer and Soenen itwould appear that these two writers have been in part influenced by SinoNippon approaches to business identity and this is reflected in their choice ofterminology This Australian model is built around another trio of elementsthe mind (the philosophy and strategy through which the organisation securesthe support of customers) the spirit (the values of the organisation and theresponse this evokes amongst key stakeholder groups) and the body (the totalphysical infrastructure which is required to operate the business) Of note hereis the emphasis accorded to ` the bodyrsquorsquo which is not encompassed by the othermodels Rather surprisingly ` the bodyrsquorsquo does not encompass organisationalstructure Thus the author is of the view that a broader interpretationencompassing company structure would appear to be appropriate Theimportance of structure is similarly noted by Balmer and Gray (1999) Ind(1996) Morison (1997) and Stuart (1998a 1999b) The authorrsquos new identitymixes taking cognisance of the above comprises four elements and this isillustrated in Figure 2

Unlike the approaches used by Balmer and Soenen Schmidt and Steidl andEmory it has been decided to break with (at least from a British NorthAmerican and Commonwealth perspective) the practitioner legacy which usesthe human metaphor The four elements comprising this new mix are strategystructure communication and culture

The need to make a distinction between the variables comprising a businessidentity and the task elements to be considered with regard to the managementof a business identity mix is deserving of more attention by both scholars andpractitioners than has been the case to date

The implications of the authorrsquos new mix and those of many of other mixesis that researching a business identity involves using Gioiarsquos (1998 p 26)classification plusmn marrying the interpretive lens (with regard to understandingpersonnelrsquos various affinities to different identities) with the functionalist lens(with regard to the above parts of the mix) Consequently what is required is afurther breaking down of boundaries between research paradigms Thisprocess has implications not only for identity scholarship but also for identityconsultancy and management

Fifth explanation for the fog disagreement with regard to the objectives ofbusiness identity managementThe literature reveals a wide variety of purposes and objectives associated withbusiness identity management Balmerrsquos (1995) initial literature review

Corporate identitybranding and

marketing

263

revealed that corporate identity change programmes were variously used as avehicle to assist in

strategy formulation

culture-change

effective corporate communication

articulating a corporate strategy

articulatingchanging the organisationrsquos culture

acting as a platform for corporate communications and

ensuring that the organisationrsquos visual identity is fashionable

This is indicative of the multidisciplinary nature of the domain with the type ofidentity change reflecting the aspects of the organisationrsquos identity that requireattention

Significantly the effective management of a business identity has beenregarded as imbuing an organisation with a favourable image (cf Abratt 1989

Figure 2Balmerrsquos new identity

mix and identitymanagement mix

EuropeanJournal ofMarketing3534

264

Balmer 1995 Birkigt and Stadler 1986 Dowling 1994 Steidl and Emory 1997Tyrrell 1995 Van Rekom 1997) and more recently the acquisition of afavourable corporate reputation coupled with business survival andprofitability (Balmer and Stotvig 1997 Van Riel and Balmer 1997 Gray andBalmer 1998) The objective of acquiring a favourable corporate image hasfallen out of favour since the concept of the corporate image is fraught withdifficulty (Balmer 1998) The acquisition of a corporate brand on the otherhand has been identified as an objective of corporate identity management(Balmer 1999a) The ICIG statement reproduced in Appendix 1 cites a numberof possible objectives in relation to corporate identity management namely

fostering a sense of individuality

achieving differentiation in a competitive environment

providing disciplinary integration

providing a platform for coherent corporate communication

nurturing an image that is consistent with the organisationrsquos definingethos and character

nurturing understanding and commitment among stakeholders

attracting and retaining customers and employees

achieving strategic alliances and

gaining support of financial markets

Sixth explanation of the fog a traditional lack of dialogue between Anglophoneand non-Anglophone scholars and writersIn addition to the lack of dialogue between scholars from different disciplines anotable feature of the literature on business identity is how linguistic andcultural barriers have exerted an influence in the general understanding of thearea The most dramatic divide is between Anglophone and non-Anglophonenations For instance the literature on business identity emerging frommainland Europe appears to have developed quite independently from theNorth American literature and also from that of the UK and the old (British)Commonwealth and vice versa An example of this is the French school ofthought on corporate identity (Moingeon and Ramanantsoa 1997) TheNetherlands appears to be the exception to the rule owing to the linguisticdexterity of the peoples of that kingdom This can be seen in Van Rielrsquos (1995)influential text Principles of Corporate Communication which contains averitable cornucopia of international sources

Further afield questions of language have hindered our understanding ofSino and Japanese approaches to the area The current understanding ofbusiness identity in `Westernrsquorsquo nations might need to undertake a furtherradical reappraisal in order to accommodate what appear to be substantivedifferences of approach between ` Westernrsquorsquo and ` Asianrsquorsquo scholars of businessidentity Reference has already been made to the Mitsubishi mix According to

Corporate identitybranding and

marketing

265

Steidl and Emory (1997 pp 4-5) the Japanese approach to business identityadopts a radically different manner from that found in other nations They referto Motoo Nakanishi the chairman of one of Japanrsquos foremost businessconsultancies who states that Japanese business identity change programmesare characterised by their longevity in planning and implementation and thatthey are also dependent upon the CEO championing such a change In contrastNakanishi comments that US identity change programmes reflect the characterof the CEO to a greater extent than Asian approaches are similar to Japaneseprogrammes in their reliance on the CEO for their success are more project-orientated and are short-term in scope For their part Johansson and Hirano(1999) point out that in Asia there is a higher degree of parallelism betweenindividual and corporate objectives than in the West cf Balmer and Wilson(1998)

Seventh explanation for the fog the traditional lack of dialogue betweenresearchers from different disciplinesThe business identity literatures encompass distinctive and not so distinctiveschools of thought business communications and corporate communications(Cheney and Christensen 1999 Van Riel 1995) graphic design (Olins 1995Schmidt 1995) image and image-research (Brown 1998 Barich and Kotler1991 Worcester 19861997) marketing (Abratt 1989) organisationalbehaviour (Albert and Whetten 1985 Mael and Ashforth 1992) publicrelations (Grunig 1993) psychology (Bromley 1993) reputation (Fombrun1996) and strategy (Gray and Smeltzer 1985 Marwick and Fill 1997 Morison1997) A multi-disciplinary approach is adopted by Balmer (1995 1998) with astrong marketingcommunications emphasis

Despite the wealth of disciplines the degree of cross fertilisation of ideas andinsights from these literatures is comparatively slight It would appear thatbusiness identity issues have to a large degree matured along narrow verticaland disciplinary paradigms There has been little in the way of multi-disciplinary holistic development This may be placed in the context of thevarious business identity mixes articulated by Balmer and Soenen (1997)Birkigt and Stadler (1986) Schmidt (1995) and Steidl and Emory (1997) thatclearly demand that a broad multi-disciplinary approach be adopted

Mention may also be made of Whetten and Godfreyrsquos (1998) book Identity inOrganisations where academics from a number of disciplines discuss variousfacets of the business identity world However there is a paucity of materialemanating from British Commonwealth and European sources in this text andfor the main little from the marketing literature is marshalled This may becontrasted with the recent marketing literature where organisationalbehaviourists for instance have made a significant contribution

Eighth explanation for the fog the association with graphic designThe importance accorded to graphic design in the business identity literaturehas exacerbated the confusion surrounding the area and may in retrospect be

EuropeanJournal ofMarketing3534

266

seen to have exerted a deleterious influence regarding the conceptualisation ofidentity In the past this has led to the business identity domain being narrowlyconceived Some writers with backgrounds in marketing and communicationhave accorded symbolism the same importance as other business identityelements such as behaviour and communication viz Birkigt and Stadler (1986)The emphasis accorded to graphic design in business identity studies has beenperpetuated by many so-called corporate identity consultancies who are to allintents and purposes graphic design consultancies Research undertaken byMORI revealed that significant numbers of managers in UK and Europe stillequate UK-based corporate identity with graphic design (cf Schmidt 1995)Such has been the influence of graphic design that it has almost becomeaxiomatic that any change of business identity will have an attendant changeof visual identity The author has not to date discovered a case where acorporate identity consultancy advising a client during a business identitychange programme has not as a minimum tweaked the corporate logo This isa curious state of affairs and again raises some profound questions Wolff Olins(Europersquos largest corporate identity consultancy) in their ` Guide to corporateidentityrsquorsquo produced for the UK weekly magazine Marketing (1990 pp 19-24)made this very point

Because of corporate identityrsquos roots in design it will probably entail a new or revised logodesign

With the passing of ten years little appears to have altered For instance themajority of personnel employed by corporate identity consultancies tend tohave a background in graphic design The author is of the view that thegraphic design emphasis ascribed to business identity has thrown the area outof kilter This has had the unfortunate effect of stifling a broader moresophisticated and scholarly appreciation of business identity The distinctcorporate identity and organisational identity literatures although somewhatparvenu in relation to the visual identity literature have without doubt made aprofound contribution to the general understanding of business identity overrecent years What is required is for a more balanced appraisal to take place vis-aAacute -vis the power of visual identity and of graphic design in what is starting to beknown as the corporate identity mixbusiness identity mix What is not refutedby the author is that visual identification does unquestionably have powerVan Riel (1995) pointed out the wide impact of visual communication when hewrote that the average lorry is capable of delivering 7-9 million visualimpressions per year or about 60 per kilometre Empirical work undertaken byMelewar and Saunders (1998) revealed the benefit of standardised globalcorporate visual identity systems Furthermore the use of what is known as` the visual auditrsquorsquo (an examination of the organisationrsquos symbolism and brandstructure) has been shown to be a most effective initial means ofcomprehending an organisationrsquos cultures power-base strategies andcommunication As such the visual audit may provide useful insights into anorganisationrsquos identity

Corporate identitybranding and

marketing

267

However whereas a visual audit may reveal symptoms of inherent corporatemalaise many organisations fall into the trap of resorting to the initiation of anew visual identity as a means of correcting what can be profoundorganisational difficulties This may suggest a degree of naivety on the part ofsome senior managers and consultancies in failing to differentiate between thecauses and the symptoms (visual-identity) of a weak inconsistent negative orunwanted business identity As a result of this approach a number of authorstend to define corporate identity in prosaic terms namely ` what anorganisation isrsquorsquo While inadequate as a definition it does help to distance thearea from the narrow graphic design perspective

The emphasis on the visual has had another unfortunate effect in cloudingover the importance of the other senses of sound scent taste and touch Itwould be perverse to suggest that visually impaired customers employees orinvestors are unable to recognise differentiate between or form opinions oforganisations Upon reflection it becomes apparent that the non-visual sensescan be just as powerful in communicating the identity of a collective group Forexample the aural sense has a dominant role in the recognition of the identitiesof radio stations The aural sense also helps to differentiate one nation statefrom another via the use of languages and national anthems Important lessonscan in this regard be learned from ancient institutions such as the CatholicChurch which marshals all the senses to forge an impressive panoply ofsignals to support the Catholic Churchrsquos tenets and beliefs Although theCatholic Church has in recent years offered a somewhat flaccid version of itsidentity it is still possible to experience the effect of marshalling of all thesenses in an experience which is unique to the Catholic faith Thus at atraditional solemn celebration of the liturgy at Londonrsquos Brompton Oratorythe churchrsquos distinctiveness is communicated through among otherssymbolism (vestments church furnishings architecture posture of clergy andlaity) sound (Latin Gregorian chant and polyphony) smell (incense) touch(holy water) and taste (taking the sacrament)

Ninth explanation for the fog the effect of fashionVagaries in fashion in the use of concepts have played their part in thickeningthe fog surrounding the area A would-be scholar of business identity studieshas to show a good deal of perspicacity not only in accommodating the richvariety of concepts in use but also in exerting acute vigilance in theirassessment of what he or she understands by the concept The effects offashion can clearly be seen in the 1950s and 1960s when much attention wasfocused on the concept of the ` corporate imagersquorsquo Yet in the 1970s ` corporateidentityrsquorsquo grew in popularity and to some degree was used in preference to` corporate imagersquorsquo The corporate identityconcept was not only used as asurrogate for ` image managementrsquorsquo but has been viewed by some authors suchas Dowling (1994) as being fundamentally concerned with visual identityOthers saw the concept as embracing the distinct characteristics of anorganisation (Van Riel and Balmer 1997) In recent years reference to the

EuropeanJournal ofMarketing3534

268

` corporate brandrsquorsquo or what is sometimes termed ` service brandingrsquorsquo (cf Balmer1995 De Chernatony 1999) has replaced reference to ` corporate identityrsquorsquo Ofparticular note is corporate reputation which as a concept has been in theascendant over recent years and has almost eclipsed references to the corporateimage in the literature and in management parlance What is apparent is thattoo many practitioners and some scholars have tended to regard the emergenceof a new concept as a replacement to what has gone before rather thanconsidering each new concept for its potential in building on what preceded itand furthering therefore the general understanding of the creationmanagement and saliency of business identity

Tenth explanation for the fog the inappropriateness of the positivistic researchparadigm in the initial stage of theory generation vis-aAacute-vis identityUndue attention has been given to measuring the outcomes and benefits ofeffective business identity management Providing a firm foundation regardingthe nature andor driving forces of business identity will do much to lift the fogsurrounding the area In this regard the research paradigm of naturalism isperhaps more appropriate than positivism in explaining a phenomenon such ascorporate identity which has not previously been subjected to a great deal ofempirical research viz Van Mannen (1985) Case studies can also be usefulwith regard to theory building research in the field of corporate identity Oliver(1997) argued the importance of case study research albeit in relation tocorporate communication and stated that formal theories do develop from casestudies Oliver is supported in her view by others including Gill and Johnson(1991) and Yin (1984)

While some caution needs to be applied to the maxim found in VirgilrsquosAeneid ` ab uno disce omnesrsquorsquo (from one learn all) it would perhaps be equallyperverse to suggest the opposite that nothing is gained from the findings ofcase studies This is after all the modus operandi underpinning HarvardBusiness Schoolrsquos pedagogical approach

Deshpande (1983) notes that quantitative methods are more suitable fortheory testing than theory generation Vankatesh (1985 p 62) commented thatthe emphasis on empirical research data analysis and quantitative modellingoffers little potential for theory generation As such the author argues thatmarketing scholars should give a greater emphasis to qualitative and casestudy research

Eleventh explanation for the fog the paucity of empirical academic researchThree reasons are postulated by the writer as to why there has been a lack ofpublished empirical research

(1) Until recently the traditional lack of interest from all but a fewmanagement academics

(2) The difficulty in getting published in mainstream management journals

(3) The difficulty in undertaking research into corporate identity

Corporate identitybranding and

marketing

269

Invariably business identity issues encompass issues that are of particularsensitivity and have fundamental importance to organisations and their seniormanagement Therefore researchers are likely to experience acute difficulty inresearching changes of business identity which probe into the quintessence ofan organisationrsquos existence and which can propel to the fore issues of greatsensitivity and political importance In addition new scholars are likely to havethe wherewithall to extrapolate data and disseminate their findings throughlearned journals

Although this traditionally has been the case it is difficult to say whetherthis is a cause or effect vis-aAacute -vis points (1) to (3) Perhaps all elements have madea contribution What is encouraging is that more scholars are embarking onresearch into this business identity and this is represented in the burgeoningnumber of candidates embarking upon doctoral research in corporate identitySignificant empirical research to date includes that by Balmer and Wilson(1998) relating to the BBC and a major UK high street bank Dutton andDukerichrsquos (1991) research on the New York port authority Elsbach andKramerrsquos (1996) research in US universities Gioia and Thomasrsquos (1996)investigation relating to universities and Van Rekomrsquos (1997) study focusing ona sector of the Dutch tourism industry

Twelfth explanation for the fog undue focus being accorded to the businessidentities of holding companiesparent organisationsThe literature reveals a bias towards the identities of holding or parentcompanies with insufficient attention being given to the identities ofsubsidiaries as well as to industrial identities alliances licensing arrangementsand to federal types of organisational structures An exception to the latter wasBalmerrsquos (1996) research which focused on BBC Scotland plusmn a subsidiary of theBBC The emphasis accorded to the identities of parent organisations hasperhaps resulted in a far too simplistic categorisation regarding therelationship between subsidiaries business units and the holding companyThis can be seen in Olinsrsquos (1978) highly influential tripartite categorisation ofbusiness identities which he calls monolithic endorsed and brandedAlthough this is a useful basic classification it disguises the fact that parent-subsidiary relationships are invariably more complicated as evinced byKammerer (1989) Furthermore insufficient attention is given to the industry-wide generic identities with the exception of Balmer and Wilkinson (1991) andWilkinson and Balmer (1996)

Upon reflection there are other identity types such as the identity ofalliances including the ` Starrsquorsquo ` One Worldrsquorsquo and ` Wingsrsquorsquo airline alliances theidentity of consortiums such as the European Airbus and the sharing of abrand name by several important companies Examples include the Hiltonbrand name which is shared by Hilton Hotel of the USA and Ladbrokes of theUK the Rolls-Royce brand licensed to car manufacturers VWBMW(Germany) by the UK aero-engines group Rolls-Royce the multiplicity ofidentities subsumed beneath the umbrella of the Virgin brand and the Co-op

EuropeanJournal ofMarketing3534

270

brand in the UK which serves as an umbrella brand for its labyrinthicorganisational structure The simplistic approach to organisational structureand strategy outlined above and the graphic design bias has in the authorrsquosopinion served to obfuscate business identityrsquos palpable affinity with corporatestrategy

Thirteenth explanation for the fog the emphasis assigned to Anglo-Saxonforms of business structuresFor the main the various literatures of business identity focus on Anglo-Saxonforms of business identity which is characterised by short termism and whereshareholders are accorded particular importance Little has appeared inEuropean journals with regard to non Anglo-Saxon forms of businessidentities As such it would appear that undue emphasis is accorded to verticalrather than to horizontal organisational structures

There is prima facie case to suggest that existing Anglo-Saxon theories ofbusiness identity are inappropriate to certain organisational structuresoperating in other countries due to cultural and economic reasons This canperhaps be most clearly seen in Japan and Korea The traditional Japanesekeiretsu structure which encompasses well known brand names such asMitsubishi Mitsui and Sumitomo differ from their Anglo-Saxon counterpartsin that they invariably include financial services companies that can providefinance to other members of the keiretsu Typically each keiretsu structurecontains

a commercial bank a trust bank and a life insurance company

each group contains a trading company which supports other membersof the group through the provision of such things as intelligence andproject management

there is cross-shareholdings of such groups which makes it difficult fora member of the group to be threatened with an aggressive take-over

in times of crisis members of the kieretsu group will provide supportfinancial or service to the beleaguered company and finally

there is a leading group of companies

The Korean chaebol structure is similar to the Japanese keiretsu structure withthe exception that first members of the founding family still in some instancesmanage the company and second the chaebol does not contain powerfulfinancial institutions or trading companies

What is clear from the above illustration is that Eastern businessrelationships are more complicated than those witnessed in many Anglo-Saxoncompanies that the visualbranding structure is invariably applied to a familyof more or less autonomous companies rather than to a single commercialconcern that the notion of internal communications takes on a particularlyimportant role vis-aAacute -vis communication between members of the kieretsuchaebol and that the external communication is more complicated This is

Corporate identitybranding and

marketing

271

because each company of the group not only needs to support its own corporatecommunication efforts and reputation but also that of the group Here thegrouprsquos reputation will appear to act as a powerful control mechanismBalmerrsquos (1998) DEAR Model (Decisions are Evaluated Against theorganisationrsquosgrouprsquos Reputation) may be of use in this regard

It is important to recall that there are other forms of organisational structureoperating in the West other than Anglo-Saxon structures One approachprevalent in southern Europe and termed ` the Latin approachrsquorsquo is according toCova and Aubert-Gamet (1997) based on the view that marketing institutionsare less effective than proximate communities influencing peoplesrsquo behaviourCova coined the term ` societingrsquorsquo to encapsulate this approach A case in pointis the Rhine model of organisations which for obvious reasons is prevalent inthose nations bordering the Rhine Here there are flatter more community-focused structures

In Germany businesses are not dominated by big brand names In a 1989survey for Business Week Germany accounted for only 3 per cent of the worldrsquos1000 largest companies Germanyrsquos strength (and also that of Northern Italy)rests in its Mittelstand These are small to medium-sized family businesses InGermany the characteristics of such companies are

family owned

financiers or investors are not owners or controllers of the companies

the objective is long term survival and

stakeholdersrsquo groupings cannot so easily be broken down into internaland external stakeholders

Interestingly concern is shown to stakeholders of the future Table IV providesa summation of the Anglo-Saxon and the Rhine and Asian approaches

Fourteenth explanation of the fog weaknesses in early traditional marketingmodels of corporate identitycorporate image management and formationThe fourteenth weakness identified by the writer is the weaknesses in many ofthe more influential conceptual models of corporate imageidentityreputationformation (Abratt 1989 Dowling 1986 1993 and Kennedy 1977) It wouldappear that in some of these models the writers confuse corporate identity withcorporate image While the writer is critical of some of the models each of themmakes a valuable contribution to the debate on the area Certainly several ofthese models were at the cutting edge of the debate on the area at the time theywere published These four models will be examined in turn

Abrattrsquos model (1989)Abrattrsquos conceptual and prescriptive model has the objective of explaining thecorporate image management process and adopts an ` outside inrsquorsquo focus (animage reputation focus) rather than an inside out (an identity personalityfocus) Abrattrsquos model is most useful in that it attempts to integrate the

EuropeanJournal ofMarketing3534

272

problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

marketing

273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

EuropeanJournal ofMarketing3534

274

challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

marketing

275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

EuropeanJournal ofMarketing3534

276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 7: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

EuropeanJournal ofMarketing3534

254

Table II

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Cor

por

ate

iden

tity

Abra

tt(1

989)

B

alm

er(1

998)

B

alm

eran

dW

ilso

n(1

998)

B

irkig

tan

dSta

dle

r(1

986)

O

lins

(199

5)Sch

mid

t(1

995)

Ste

idl

and

Em

ory

(199

7)

Stu

art

(199

8a19

98b

1999

a)T

agiu

ri(1

982)

T

yre

ll(1

995)

V

anR

ekom

(199

7)

Van

Rie

l(1

995)

V

anR

iel

and

Bal

mer

(199

7)W

iedm

ann

(198

8)

ICIG

Sta

tem

ent

(See

Appen

dix

1)

(a)

The

mix

ofel

emen

tsw

hic

hgiv

esor

gan

isat

ions

thei

rdis

tinct

iven

ess

the

foundat

ion

ofbusi

nes

sid

enti

ties

(b

)A

lthou

gh

ther

eis

still

ala

ckof

conse

nsu

sas

toth

ech

arac

teri

stic

sof

aco

rpor

ate

iden

tity

au

thor

sdo

for

the

mai

nem

phas

ise

the

impor

tance

ofse

ver

alel

emen

tsin

cludin

gcu

lture

(wit

hst

aff

seen

tohav

ean

affi

nit

yto

mult

iple

form

sof

iden

tity

)st

rate

gy

stru

cture

his

tory

busi

nes

sac

tivit

ies

and

mar

ket

scop

eT

he

abov

eper

spec

tive

ofth

eco

rpor

ate

iden

tity

conce

pt

isbec

omin

gm

ore

com

mon

wit

hin

mai

nla

nd

Euro

pe

the

UK

and

the

Bri

tish

Com

mon

wea

lth

espec

ially

thos

efr

oma

mar

ket

ingc

omm

unic

atio

ns

bac

kgro

und

(Oft

en

corp

orat

eid

enti

tyis

erro

neo

usl

yuse

dw

hen

refe

rrin

gto

vis

ual

iden

tity

V

ide

Infr

a)

Org

anis

atio

nal

iden

tity

Alb

ert

and

Whet

ten

(198

5)

Ash

fort

han

dM

ael

(198

9)

Dutt

onet

al

(199

4)H

atch

and

Sch

ult

z(1

997)

W

het

ten

and

God

frey

(199

8)

(a)

Akey

elem

ent

giv

ing

busi

nes

sid

enti

tyit

sdis

tinct

iven

ess

(vid

esu

pra

plusmnco

rpor

ate

iden

tity

and

vide

infr

aplusmn

corp

orat

eper

sonal

ity)

(b)

Ref

ers

tow

hat

emplo

yee

sfe

elan

dth

ink

abou

tth

eir

organ

isat

ionF

ocuse

son

ques

tion

sre

lati

ng

toor

gan

isat

ional

cult

ure

A

lber

tan

dW

het

tenrsquos

infl

uen

tial

def

init

ion

ofor

gan

isat

ional

iden

tity

refe

rsto

thos

ech

arac

teri

stic

sof

anor

gan

isat

ion

whic

har

ece

ntr

alen

duri

ng

and

dis

tinct

ive

How

ever

th

ere

ishea

ted

deb

ate

amon

gst

organ

isat

ional

beh

avio

uri

sts

regar

din

gA

lber

tan

dW

het

tenrsquos

cate

gor

isat

ion

ofor

gan

isat

ional

iden

tity

R

elat

ionsh

ipw

ith

corp

orat

eid

enti

tyis

beg

innin

gto

be

explo

red

but

the

mar

ket

ing

per

spec

tive

espec

ially

from

the

Com

mon

wea

lth

and

Euro

pe

has

mad

elitt

lein

the

way

ofin

road

sw

ith

Nor

ther

nA

mer

ican

schol

ars

Appea

rsto

hav

em

any

sim

ilar

char

acte

rist

ics

wit

hth

eco

nce

pt

ofco

rpor

ate

per

sonal

ity

and

wit

hco

rpor

ate

cult

ure

(cf

Fio

let

al

(199

9)vi

de

infr

a

Itsh

ould

be

bor

ne

inm

ind

that

cult

ure

isso

met

imes

vie

wed

asa

var

iable

inco

rpor

ate

iden

tity

form

atio

n

(con

tinued

)

Corporate identitybranding and

marketing

255

Table II

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Vis

ual

iden

tity

Bal

mer

(199

5)B

aker

and

Bal

mer

(199

7)

Chaj

etet

al

(199

3)

Dow

ling

(199

4)

Hen

rion

and

Par

kin

(196

7)M

elew

aran

dSau

nder

s(1

998

1999

)N

apol

es(1

988)

O

lins

(197

819

79)

Pildit

ch(1

971)

Je

nkin

s(1

991)

Sel

ame

and

Sel

ame

(197

5)

Sim

pso

n(1

979)

Ste

war

t(1

991)

(a)

One

mea

ns

by

whic

ha

busi

nes

sid

enti

tym

aybe

know

nor

in

dee

d

dis

guis

ed

An

audit

ofan

organ

isat

ionrsquos

sym

bol

ism

can

also

hel

pin

giv

ing

insi

ghts

into

anor

gan

isat

ionrsquos

corp

orat

eid

enti

tyo

rgan

isat

ional

iden

tity

T

he

mos

tpro

min

ent

aspec

tof

abusi

nes

sid

enti

tych

ange

pro

gra

mm

eT

he

only

par

tof

abusi

nes

sid

enti

tyw

hic

hca

nbe

effe

ctiv

ely

contr

olle

dby

senio

rm

anag

emen

t(b

)B

alm

errsquos

anal

ysi

sof

the

lite

ratu

rere

vea

led

that

auth

ors

ascr

ibe

four

funct

ions

tovis

ual

iden

tity

inth

atit

is(i)

use

dto

signal

chan

ge

inco

rpor

ate

stra

tegy(ii)

cult

ure

an

d(iii)

com

munic

atio

nSom

etim

esch

anges

are

under

taken

inor

der

toac

com

mod

ate

(iv)

chan

ges

infa

shio

nw

ith

regar

dto

gra

phic

des

ignO

linsrsquo

use

ful

cate

gor

isat

ion

ofvis

ual

iden

tity

into

mon

olit

hic

en

dor

sed

and

bra

nded

cate

gor

ies

has

bee

nw

idel

yad

opte

din

the

lite

ratu

reev

enth

oughas

Olins

adm

its

itra

rely

refl

ects

organ

isat

ional

real

ity

Cor

por

ate

imag

eA

bra

tt(1

989)

B

ernst

ein

(198

4)

Bro

wn

(199

8)

Bri

stol

(196

0)B

oors

ein

(196

1)

Bou

ldin

g(1

956)

B

udd

(196

9)C

raven

(198

6)

Dow

ling

(198

6)G

ray

(198

6)

Gra

yan

dSm

elze

r(1

985)

G

ray

and

Bal

mer

(199

8)G

runig

(199

3)K

enned

y(1

997)

L

indquis

t(1

974)

M

arti

nea

u(1

958)

Spec

tor

(196

1)V

anH

eerd

enan

dP

uth

(199

5)

Van

Rie

l(1

995)

W

orce

ster

(198

619

97)

(a)

One

ofth

ees

pou

sed

obje

ctiv

esof

effe

ctiv

ely

(or

non

-eff

ecti

vel

y)

man

agin

ga

busi

nes

sid

enti

tyie

th

ecr

eati

onof

apos

itiv

e(o

rneg

ativ

e)im

age

(b)

Ther

ear

eth

ree

bro

ad

dis

ciplinar

yap

pro

aches

toco

rpor

ate

imag

edra

wn

from

psy

chol

ogygra

phic

des

ign

and

from

public

rela

tion

sse

eB

row

n(1

998)

and

Bal

mer

(199

8)T

he

conce

pt

isim

por

tant

but

ispro

ble

mat

icdue

toth

em

ult

iplici

tyof

inte

rpre

tati

ons

and

neg

ativ

eas

soci

atio

ns

Ques

tion

sre

lati

ng

toit

s`m

anag

emen

trsquorsquoar

ein

her

entl

ypro

ble

mat

icC

once

pt

has

larg

ely

bee

nec

lipse

dby

that

ofth

eco

rpor

ate

reputa

tion

bot

hin

the

lite

ratu

rean

din

man

agem

ent

par

lance

V

ide

infr

a

(conti

nued

)

EuropeanJournal ofMarketing3534

256

Table II

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Cor

por

ate

per

sonal

ity

Abra

tt(1

989)

B

alm

eran

dW

ilso

n(1

998)

B

irkig

tan

dSta

dle

r(1

986)

L

ux

(198

6)

Olins

(197

8)V

anR

iel

and

Bal

mer

(199

7)

(a)

Akey

elem

ent

whic

hgiv

esa

busi

nes

sid

enti

tyit

sdis

tinct

iven

ess

and

rela

tes

toth

eat

titu

des

and

bel

iefs

ofth

ose

wit

hin

the

organ

isat

ion

Ther

efor

eth

ere

appea

rsto

be

apri

me

faci

eca

sefo

rlinkin

gth

eco

nce

pt

toor

gan

isat

ional

iden

tity

and

toth

eco

nce

pt

ofco

rpor

ate

cult

ure

V

ide

supra

(b

)O

lins

pos

tula

ted

that

anor

gan

isat

ionrsquos

cult

ure

invar

iably

dev

elop

sar

ound

the

organ

isat

ionrsquos

founder

and

afte

rth

efo

under

rsquosdep

artu

rere

quir

esm

anag

emen

tat

tenti

onin

order

tofi

llw

hat

the

auth

orca

lls

`the

per

sonal

ity

def

icit

rsquorsquoA

uth

ors

who

refe

rto

the

conce

pt

inth

eir

wri

ting

orm

odel

spla

ceth

eco

nce

pt

per

sonal

ity

atth

ece

ntr

eof

busi

nes

sid

enti

ty

The

BB

Cst

udy

under

taken

by

Bal

mer

lead

sto

the

concl

usi

onth

atth

eco

rpor

ate

per

sonal

ity

refe

rsto

the

mix

ofco

rpor

ate

pro

fess

ional

re

gio

nal

and

other

sub-c

ult

ure

sin

organ

isat

ions

and

that

this

`cult

ura

lm

ixrsquorsquo

isa

key

elem

ent

ingiv

ing

dis

tinct

iven

ess

tobusi

nes

sid

enti

ties

C

lear

links

wit

hth

e`d

iffe

renti

atio

npar

adig

mof

cult

ura

lst

udie

srsquorsquo

Org

anis

atio

nal

iden

tifi

cati

onis

per

hap

sa

pre

fera

ble

conce

pt

inlight

ofth

edif

ficu

ltie

sas

soci

ated

wit

hth

enot

ion

that

organ

isat

ions

hav

ea

per

sonal

ity

inth

esa

me

way

that

hum

ans

do

This

conce

pt

has

also

suff

ered

asa

conse

quen

ceof

the

vag

arie

sof

fash

ion

Cor

por

ate

reputa

tion

Bro

mle

y(1

993)

C

aruan

aan

dC

hir

cop

(200

0)

Fom

bru

n(1

996)

F

ombru

nan

dV

anR

iel

(199

7)G

ray

and

Bal

mer

(199

8)

Gre

yse

r(1

999)

Sob

olan

dF

arre

ll(1

988)

W

eigel

tan

dC

amer

er(1

988)

(a)

One

obje

ctiv

eof

effe

ctiv

ebusi

nes

sid

enti

tym

anag

emen

tis

the

acquis

itio

nof

afa

vou

rable

reputa

tion

amon

gkey

stak

ehol

der

gro

ups

This

isbel

ieved

togiv

eth

eor

gan

isat

ion

aco

mpet

itiv

ead

van

tage

(b)

Fom

bru

nan

dV

anR

iel

pro

vid

esi

xca

tegor

isat

ions

ofco

rpor

ate

reputa

tion

sre

flec

ting

the

six

dis

tinct

lite

ratu

res

onth

ear

eaw

hic

hvar

iousl

yfo

cus

onit

sfi

nan

cial

wor

th

its

trai

tsan

do

rsi

gnal

sit

sfo

rmat

ion

reputa

tion

alex

pec

tati

ons

and

nor

ms

and

onre

puta

tion

alas

sets

and

mob

ilit

ybar

rier

s

Corporate identitybranding and

marketing

257

Table IIIThe saliency of

identity and relatedconcepts in addressing

major organisationalconcerns

Concept Addresses key question Commentsexplanations

Corporate identity What are we Also involves addressing a series ofquestions including What is ourbusinessstructurestrategyethosmarketperformancehistory andreputationrelationships to otheridentities

Organisationalidentity (corporatepersonality)a

Who are we The mix of dominantascendantsubcultures withintranscending theorganisation Employeesrsquo relationshipswith myriad organisational identities(holding company subsidiaryiesdepartments original current andemergent identities) Professionalcultural industrial sexual identitiesetc

Visual identity (visualidentificationsystem)

What are theorganizationrsquos symbolsand system ofidentification

Do the organisationrsquos visual (and verbal)cues communicate whatwho we areWhatwho we were Whatwho wewish to be A mix of the above Isthere clarity or confusion Does itreflect or possibly inform currentstrategy

Corporatecommunication

Is there integratedcommunication

In relation to management organisationaland marketing communications Arethey integrated in terms ofmanagement philosophy and process

Total corporatecommunications

Is there congruency revertical and horizontalcommunication

Vertical between corporatecommunication corporate actionsperformance and behaviours andbetween third partiesHorizontal asabove but also congruency over time

Corporate image What is the currentperception andorprofile

In relation to the immediate mentalperception of the organisation held byan individual group or network

Corporate reputation What distinctiveattributes (if any) areassigned to theorganisation

The enduring perception held of anorganisation by an individual group ornetwork

Corporate brand What is the promiseinferred fromcommunicated by thebrand

Are these inferences accurate reflected inreality (the promiseperformance gap)shown in management commitment andunderpinnedmade explicit by effectivecommunications Vida supra

Note aThe traditional andor preferred marketing description

EuropeanJournal ofMarketing3534

258

author of this article calls ` the personality deficitrsquorsquo) Over time it is the mix ofsubcultures (corporate professional national etc) present within theorganisation that fills this void and gives it a collective personality albeit apersonality of many different elements (cf Balmer and Wilson 1998)

As Gioia (1998) noted

Like individuals organisations can be viewed as subsuming a multiplicity of identities eachof which is appropriate for a given context or audience Actually at the organisation level thenotion of the multiple identities is perhaps the key (if subtle) point of difference betweenindividuals and organisations

He continued

Thus organisations can plausibly present a complicated multifaceted identity eachcomponent of which is relevant to specific domains or constituents without appearinghopelessly fragmented or ludicrously schizophrenic as an individual might

The notion of multiple identities will be further explored in the 15th reason forthe fog

Second reason for the fog the existence of different paradigmatic viewsvis-aAacute-vis business identityrsquos raison drsquoeAtildetreThere are three distinct perspectives on how the business identity conceptshould be defined and explored The three perspectives are functionalistinterpretative and post-modern Gioia (1998) expounded the nature of thedebate taking place in each of these philosophical schools with regard toorganisational identity Here the modus vivendi is to uncover why and howemployees think and act in relation to their employerorganisation Theseparadigms also inform thought within other fields of business identity and ofcourse management studies generally

The functionalist lens regards business identity as a social fact Consequentlya business identity can be observed moulded and managed The key researchissues centre on uncovering describing and measuring a business identityObservation and psychometric instruments are the preferred research tools

The second paradigm embracing the interpretative perspective has as itsmain focus the understanding of how employees construct meaningsregarding who they are within an organisational environment Businessidentity is viewed as a socially constructed phenomenon with employeesseeking to give some level of meaning to their work existence The researchfocus is to uncover the meanings employees attach to their organisation Thestudy of organisational symbols underlines the methodical approach of thisparadigm

The final component of the troika of perspectives the post-modernparadigm seeks to disclose power-relationships regarding business identityThe emphasis focuses on complexity rather than on simplicity Businessidentity is regarded as a collection of transcendatory perspectives about howorganisational members view themselves Provocation and reflexivity

Corporate identitybranding and

marketing

259

characterise the research process The main research tools are language anddiscourse While such schools may appear to be irreconcilable as Gioia (1998)observes they do give richness to the general understanding of the businessidentity concept as do other perspectives in this nascent area This is a keyleitmotif of this article and the author argues should characterise emerginguacuteuvre pertaining to business identity studies

Third reason for the fog multifarious disciplinary perspectives re business identityThe literatures pertaining to business identity and particularly to corporateidentity organisational identity and visual identification reveal a plethora ofperspectives with regard to first the scope of the various identity conceptsregarding various management disciplines and second the shiftingperspectives relating to the relationships between the three identity conceptsFigure 1 shows the various relationships that have been postulated in theliterature This illustrates the huge disparity between the nature and roAtildele ofidentity studies On closer examination it becomes apparent that some of thenarrower perspectives relate to what is more appropriately called visualidentity The final interdisciplinary approach represents the authorrsquos view thatbusiness identity studies will form the keystone of corporate marketingTaking up the metaphor of the silver lining outlined in the opening paragraphof this article it becomes apparent that while there has been a traditional lackof agreement on the nature and roAtildeles of identity Figure 1 does show that the(business) identity is an omnipresent concept across a whole spectrum ofmanagement and marketing areas

Fourth explanation for the fog a failure to make a distinction between theelements comprising a business identity and the elements to be considered inmanaging a business identityIt should be borne in mind that business identity in its various facets may beseen as concept philosophy and as a process Concept and philosophy will bediscussed in this section and the process will be examined under the fifthexplanation

The literature reveals a lack of consensus as to the elements which constitutea business identity (the business identity mix) as well as a failure to distinguishbetween the elements of the corporate identity management mix

The approach taken by Balmer and Soenen (1999) appears to be the first tomake a clear distinction between first the elements comprising a businessidentity and second the elements required of its management This businessidentity mix embraces a triumvirate of elements termed

(1) the soul (the subjective elements of business identity including thevalues held by personnel which find expression in the plethora ofsub-cultures and the mix of identity types present within organisations)

(2) the mind (the conscious decisions made by the organisation vis-aAacute -vis theespoused organisational ethos vision strategy and productperformance) and

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(3) the voice (this encompasses the multi-faceted way in whichorganisations communicate internally and externally to stakeholdergroups and networks and which is normally called ` total corporatecommunicationsrsquorsquo viz Balmer and Gray (1999)

Figure 1The evolvingrelationships betweencorporate identity andother conceptsdisciplines

Corporate identitybranding and

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261

An additional trio of elements melding with the above form what Balmer andSoenen call the business identity management mix

The additional elements of Balmer and Soenenrsquos identity management mixare environmental forces (the need to take cognisance of this) stakeholders (theneed to be aware of stakeholders) and reputations (encompassing thereputation of the holding company its subsidiaries and business units thecountry-of-origin and the organisationrsquos partners such as alliance partners)

Mention may be made of those other authors who have attempted toarticulate the elements of a business identity These include Birkigt and Stadler(1986) the Mitsubishi Model of Japan (nd) and those by Schmidt (1995) andSteidl and Emory (1997)

Birkigt and Stadlerrsquos (1986) identity mix which is assigned a good deal ofimportance in Van Rielrsquos text (1995) and in a good deal of the subsequentliterature consists of a quartet of elements

(1) personality

(2) behaviour

(3) communication and

(4) symbolism

It would appear that this mix articulates the elements by which a businessidentity is known The mix emphasises the communications effect(s) of anorganisationrsquos behaviour communication policies and visual symbolism Themix is useful in revealing some of the major channels by which a businessidentity may be known and represents a distinct shift away from acategorisation of corporate identity in purely visual terms However incomparison to other more recent approaches it is somewhat narrow in scope

The primary objective of the Mitsubishi mix (nd) is to reveal those elementsthat constitute a business identity As with Balmer and Soenenrsquos (1999) mixthis approach draws on a trio of elements It is clear that a certain lineage maybe inferred between the English and Japanese approaches The Mitsubishi mixis segmented into what is called the mind identity (what the organisation isstriving to achieve) the strategic identity (the type of strategy which will causethe mind identity to become a reality) and the behaviour identity (the range andtypes of behaviour undertaken by the organisation)

Schmidtrsquos (1995) mix originating from the London-based Anglo-Germanconsultancy Henrion Ludlow and Schmidt comprises a quintet of elements

(1) corporate culture

(2) corporate behaviour

(3) market condition and strategies

(4) product and services and

(5) communication and design

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this clearly suggests it is a mix focusing on the management of businessidentity As such the mix takes cognisance of how an identity is revealed(through communications and design) but also assigns importance to marketconditions

Steidl and Emory (1997) have produced what is clearly a business identityrather than a business identity management mix As with Balmer and Soenen itwould appear that these two writers have been in part influenced by SinoNippon approaches to business identity and this is reflected in their choice ofterminology This Australian model is built around another trio of elementsthe mind (the philosophy and strategy through which the organisation securesthe support of customers) the spirit (the values of the organisation and theresponse this evokes amongst key stakeholder groups) and the body (the totalphysical infrastructure which is required to operate the business) Of note hereis the emphasis accorded to ` the bodyrsquorsquo which is not encompassed by the othermodels Rather surprisingly ` the bodyrsquorsquo does not encompass organisationalstructure Thus the author is of the view that a broader interpretationencompassing company structure would appear to be appropriate Theimportance of structure is similarly noted by Balmer and Gray (1999) Ind(1996) Morison (1997) and Stuart (1998a 1999b) The authorrsquos new identitymixes taking cognisance of the above comprises four elements and this isillustrated in Figure 2

Unlike the approaches used by Balmer and Soenen Schmidt and Steidl andEmory it has been decided to break with (at least from a British NorthAmerican and Commonwealth perspective) the practitioner legacy which usesthe human metaphor The four elements comprising this new mix are strategystructure communication and culture

The need to make a distinction between the variables comprising a businessidentity and the task elements to be considered with regard to the managementof a business identity mix is deserving of more attention by both scholars andpractitioners than has been the case to date

The implications of the authorrsquos new mix and those of many of other mixesis that researching a business identity involves using Gioiarsquos (1998 p 26)classification plusmn marrying the interpretive lens (with regard to understandingpersonnelrsquos various affinities to different identities) with the functionalist lens(with regard to the above parts of the mix) Consequently what is required is afurther breaking down of boundaries between research paradigms Thisprocess has implications not only for identity scholarship but also for identityconsultancy and management

Fifth explanation for the fog disagreement with regard to the objectives ofbusiness identity managementThe literature reveals a wide variety of purposes and objectives associated withbusiness identity management Balmerrsquos (1995) initial literature review

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263

revealed that corporate identity change programmes were variously used as avehicle to assist in

strategy formulation

culture-change

effective corporate communication

articulating a corporate strategy

articulatingchanging the organisationrsquos culture

acting as a platform for corporate communications and

ensuring that the organisationrsquos visual identity is fashionable

This is indicative of the multidisciplinary nature of the domain with the type ofidentity change reflecting the aspects of the organisationrsquos identity that requireattention

Significantly the effective management of a business identity has beenregarded as imbuing an organisation with a favourable image (cf Abratt 1989

Figure 2Balmerrsquos new identity

mix and identitymanagement mix

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Balmer 1995 Birkigt and Stadler 1986 Dowling 1994 Steidl and Emory 1997Tyrrell 1995 Van Rekom 1997) and more recently the acquisition of afavourable corporate reputation coupled with business survival andprofitability (Balmer and Stotvig 1997 Van Riel and Balmer 1997 Gray andBalmer 1998) The objective of acquiring a favourable corporate image hasfallen out of favour since the concept of the corporate image is fraught withdifficulty (Balmer 1998) The acquisition of a corporate brand on the otherhand has been identified as an objective of corporate identity management(Balmer 1999a) The ICIG statement reproduced in Appendix 1 cites a numberof possible objectives in relation to corporate identity management namely

fostering a sense of individuality

achieving differentiation in a competitive environment

providing disciplinary integration

providing a platform for coherent corporate communication

nurturing an image that is consistent with the organisationrsquos definingethos and character

nurturing understanding and commitment among stakeholders

attracting and retaining customers and employees

achieving strategic alliances and

gaining support of financial markets

Sixth explanation of the fog a traditional lack of dialogue between Anglophoneand non-Anglophone scholars and writersIn addition to the lack of dialogue between scholars from different disciplines anotable feature of the literature on business identity is how linguistic andcultural barriers have exerted an influence in the general understanding of thearea The most dramatic divide is between Anglophone and non-Anglophonenations For instance the literature on business identity emerging frommainland Europe appears to have developed quite independently from theNorth American literature and also from that of the UK and the old (British)Commonwealth and vice versa An example of this is the French school ofthought on corporate identity (Moingeon and Ramanantsoa 1997) TheNetherlands appears to be the exception to the rule owing to the linguisticdexterity of the peoples of that kingdom This can be seen in Van Rielrsquos (1995)influential text Principles of Corporate Communication which contains averitable cornucopia of international sources

Further afield questions of language have hindered our understanding ofSino and Japanese approaches to the area The current understanding ofbusiness identity in `Westernrsquorsquo nations might need to undertake a furtherradical reappraisal in order to accommodate what appear to be substantivedifferences of approach between ` Westernrsquorsquo and ` Asianrsquorsquo scholars of businessidentity Reference has already been made to the Mitsubishi mix According to

Corporate identitybranding and

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265

Steidl and Emory (1997 pp 4-5) the Japanese approach to business identityadopts a radically different manner from that found in other nations They referto Motoo Nakanishi the chairman of one of Japanrsquos foremost businessconsultancies who states that Japanese business identity change programmesare characterised by their longevity in planning and implementation and thatthey are also dependent upon the CEO championing such a change In contrastNakanishi comments that US identity change programmes reflect the characterof the CEO to a greater extent than Asian approaches are similar to Japaneseprogrammes in their reliance on the CEO for their success are more project-orientated and are short-term in scope For their part Johansson and Hirano(1999) point out that in Asia there is a higher degree of parallelism betweenindividual and corporate objectives than in the West cf Balmer and Wilson(1998)

Seventh explanation for the fog the traditional lack of dialogue betweenresearchers from different disciplinesThe business identity literatures encompass distinctive and not so distinctiveschools of thought business communications and corporate communications(Cheney and Christensen 1999 Van Riel 1995) graphic design (Olins 1995Schmidt 1995) image and image-research (Brown 1998 Barich and Kotler1991 Worcester 19861997) marketing (Abratt 1989) organisationalbehaviour (Albert and Whetten 1985 Mael and Ashforth 1992) publicrelations (Grunig 1993) psychology (Bromley 1993) reputation (Fombrun1996) and strategy (Gray and Smeltzer 1985 Marwick and Fill 1997 Morison1997) A multi-disciplinary approach is adopted by Balmer (1995 1998) with astrong marketingcommunications emphasis

Despite the wealth of disciplines the degree of cross fertilisation of ideas andinsights from these literatures is comparatively slight It would appear thatbusiness identity issues have to a large degree matured along narrow verticaland disciplinary paradigms There has been little in the way of multi-disciplinary holistic development This may be placed in the context of thevarious business identity mixes articulated by Balmer and Soenen (1997)Birkigt and Stadler (1986) Schmidt (1995) and Steidl and Emory (1997) thatclearly demand that a broad multi-disciplinary approach be adopted

Mention may also be made of Whetten and Godfreyrsquos (1998) book Identity inOrganisations where academics from a number of disciplines discuss variousfacets of the business identity world However there is a paucity of materialemanating from British Commonwealth and European sources in this text andfor the main little from the marketing literature is marshalled This may becontrasted with the recent marketing literature where organisationalbehaviourists for instance have made a significant contribution

Eighth explanation for the fog the association with graphic designThe importance accorded to graphic design in the business identity literaturehas exacerbated the confusion surrounding the area and may in retrospect be

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seen to have exerted a deleterious influence regarding the conceptualisation ofidentity In the past this has led to the business identity domain being narrowlyconceived Some writers with backgrounds in marketing and communicationhave accorded symbolism the same importance as other business identityelements such as behaviour and communication viz Birkigt and Stadler (1986)The emphasis accorded to graphic design in business identity studies has beenperpetuated by many so-called corporate identity consultancies who are to allintents and purposes graphic design consultancies Research undertaken byMORI revealed that significant numbers of managers in UK and Europe stillequate UK-based corporate identity with graphic design (cf Schmidt 1995)Such has been the influence of graphic design that it has almost becomeaxiomatic that any change of business identity will have an attendant changeof visual identity The author has not to date discovered a case where acorporate identity consultancy advising a client during a business identitychange programme has not as a minimum tweaked the corporate logo This isa curious state of affairs and again raises some profound questions Wolff Olins(Europersquos largest corporate identity consultancy) in their ` Guide to corporateidentityrsquorsquo produced for the UK weekly magazine Marketing (1990 pp 19-24)made this very point

Because of corporate identityrsquos roots in design it will probably entail a new or revised logodesign

With the passing of ten years little appears to have altered For instance themajority of personnel employed by corporate identity consultancies tend tohave a background in graphic design The author is of the view that thegraphic design emphasis ascribed to business identity has thrown the area outof kilter This has had the unfortunate effect of stifling a broader moresophisticated and scholarly appreciation of business identity The distinctcorporate identity and organisational identity literatures although somewhatparvenu in relation to the visual identity literature have without doubt made aprofound contribution to the general understanding of business identity overrecent years What is required is for a more balanced appraisal to take place vis-aAacute -vis the power of visual identity and of graphic design in what is starting to beknown as the corporate identity mixbusiness identity mix What is not refutedby the author is that visual identification does unquestionably have powerVan Riel (1995) pointed out the wide impact of visual communication when hewrote that the average lorry is capable of delivering 7-9 million visualimpressions per year or about 60 per kilometre Empirical work undertaken byMelewar and Saunders (1998) revealed the benefit of standardised globalcorporate visual identity systems Furthermore the use of what is known as` the visual auditrsquorsquo (an examination of the organisationrsquos symbolism and brandstructure) has been shown to be a most effective initial means ofcomprehending an organisationrsquos cultures power-base strategies andcommunication As such the visual audit may provide useful insights into anorganisationrsquos identity

Corporate identitybranding and

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267

However whereas a visual audit may reveal symptoms of inherent corporatemalaise many organisations fall into the trap of resorting to the initiation of anew visual identity as a means of correcting what can be profoundorganisational difficulties This may suggest a degree of naivety on the part ofsome senior managers and consultancies in failing to differentiate between thecauses and the symptoms (visual-identity) of a weak inconsistent negative orunwanted business identity As a result of this approach a number of authorstend to define corporate identity in prosaic terms namely ` what anorganisation isrsquorsquo While inadequate as a definition it does help to distance thearea from the narrow graphic design perspective

The emphasis on the visual has had another unfortunate effect in cloudingover the importance of the other senses of sound scent taste and touch Itwould be perverse to suggest that visually impaired customers employees orinvestors are unable to recognise differentiate between or form opinions oforganisations Upon reflection it becomes apparent that the non-visual sensescan be just as powerful in communicating the identity of a collective group Forexample the aural sense has a dominant role in the recognition of the identitiesof radio stations The aural sense also helps to differentiate one nation statefrom another via the use of languages and national anthems Important lessonscan in this regard be learned from ancient institutions such as the CatholicChurch which marshals all the senses to forge an impressive panoply ofsignals to support the Catholic Churchrsquos tenets and beliefs Although theCatholic Church has in recent years offered a somewhat flaccid version of itsidentity it is still possible to experience the effect of marshalling of all thesenses in an experience which is unique to the Catholic faith Thus at atraditional solemn celebration of the liturgy at Londonrsquos Brompton Oratorythe churchrsquos distinctiveness is communicated through among otherssymbolism (vestments church furnishings architecture posture of clergy andlaity) sound (Latin Gregorian chant and polyphony) smell (incense) touch(holy water) and taste (taking the sacrament)

Ninth explanation for the fog the effect of fashionVagaries in fashion in the use of concepts have played their part in thickeningthe fog surrounding the area A would-be scholar of business identity studieshas to show a good deal of perspicacity not only in accommodating the richvariety of concepts in use but also in exerting acute vigilance in theirassessment of what he or she understands by the concept The effects offashion can clearly be seen in the 1950s and 1960s when much attention wasfocused on the concept of the ` corporate imagersquorsquo Yet in the 1970s ` corporateidentityrsquorsquo grew in popularity and to some degree was used in preference to` corporate imagersquorsquo The corporate identityconcept was not only used as asurrogate for ` image managementrsquorsquo but has been viewed by some authors suchas Dowling (1994) as being fundamentally concerned with visual identityOthers saw the concept as embracing the distinct characteristics of anorganisation (Van Riel and Balmer 1997) In recent years reference to the

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` corporate brandrsquorsquo or what is sometimes termed ` service brandingrsquorsquo (cf Balmer1995 De Chernatony 1999) has replaced reference to ` corporate identityrsquorsquo Ofparticular note is corporate reputation which as a concept has been in theascendant over recent years and has almost eclipsed references to the corporateimage in the literature and in management parlance What is apparent is thattoo many practitioners and some scholars have tended to regard the emergenceof a new concept as a replacement to what has gone before rather thanconsidering each new concept for its potential in building on what preceded itand furthering therefore the general understanding of the creationmanagement and saliency of business identity

Tenth explanation for the fog the inappropriateness of the positivistic researchparadigm in the initial stage of theory generation vis-aAacute-vis identityUndue attention has been given to measuring the outcomes and benefits ofeffective business identity management Providing a firm foundation regardingthe nature andor driving forces of business identity will do much to lift the fogsurrounding the area In this regard the research paradigm of naturalism isperhaps more appropriate than positivism in explaining a phenomenon such ascorporate identity which has not previously been subjected to a great deal ofempirical research viz Van Mannen (1985) Case studies can also be usefulwith regard to theory building research in the field of corporate identity Oliver(1997) argued the importance of case study research albeit in relation tocorporate communication and stated that formal theories do develop from casestudies Oliver is supported in her view by others including Gill and Johnson(1991) and Yin (1984)

While some caution needs to be applied to the maxim found in VirgilrsquosAeneid ` ab uno disce omnesrsquorsquo (from one learn all) it would perhaps be equallyperverse to suggest the opposite that nothing is gained from the findings ofcase studies This is after all the modus operandi underpinning HarvardBusiness Schoolrsquos pedagogical approach

Deshpande (1983) notes that quantitative methods are more suitable fortheory testing than theory generation Vankatesh (1985 p 62) commented thatthe emphasis on empirical research data analysis and quantitative modellingoffers little potential for theory generation As such the author argues thatmarketing scholars should give a greater emphasis to qualitative and casestudy research

Eleventh explanation for the fog the paucity of empirical academic researchThree reasons are postulated by the writer as to why there has been a lack ofpublished empirical research

(1) Until recently the traditional lack of interest from all but a fewmanagement academics

(2) The difficulty in getting published in mainstream management journals

(3) The difficulty in undertaking research into corporate identity

Corporate identitybranding and

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269

Invariably business identity issues encompass issues that are of particularsensitivity and have fundamental importance to organisations and their seniormanagement Therefore researchers are likely to experience acute difficulty inresearching changes of business identity which probe into the quintessence ofan organisationrsquos existence and which can propel to the fore issues of greatsensitivity and political importance In addition new scholars are likely to havethe wherewithall to extrapolate data and disseminate their findings throughlearned journals

Although this traditionally has been the case it is difficult to say whetherthis is a cause or effect vis-aAacute -vis points (1) to (3) Perhaps all elements have madea contribution What is encouraging is that more scholars are embarking onresearch into this business identity and this is represented in the burgeoningnumber of candidates embarking upon doctoral research in corporate identitySignificant empirical research to date includes that by Balmer and Wilson(1998) relating to the BBC and a major UK high street bank Dutton andDukerichrsquos (1991) research on the New York port authority Elsbach andKramerrsquos (1996) research in US universities Gioia and Thomasrsquos (1996)investigation relating to universities and Van Rekomrsquos (1997) study focusing ona sector of the Dutch tourism industry

Twelfth explanation for the fog undue focus being accorded to the businessidentities of holding companiesparent organisationsThe literature reveals a bias towards the identities of holding or parentcompanies with insufficient attention being given to the identities ofsubsidiaries as well as to industrial identities alliances licensing arrangementsand to federal types of organisational structures An exception to the latter wasBalmerrsquos (1996) research which focused on BBC Scotland plusmn a subsidiary of theBBC The emphasis accorded to the identities of parent organisations hasperhaps resulted in a far too simplistic categorisation regarding therelationship between subsidiaries business units and the holding companyThis can be seen in Olinsrsquos (1978) highly influential tripartite categorisation ofbusiness identities which he calls monolithic endorsed and brandedAlthough this is a useful basic classification it disguises the fact that parent-subsidiary relationships are invariably more complicated as evinced byKammerer (1989) Furthermore insufficient attention is given to the industry-wide generic identities with the exception of Balmer and Wilkinson (1991) andWilkinson and Balmer (1996)

Upon reflection there are other identity types such as the identity ofalliances including the ` Starrsquorsquo ` One Worldrsquorsquo and ` Wingsrsquorsquo airline alliances theidentity of consortiums such as the European Airbus and the sharing of abrand name by several important companies Examples include the Hiltonbrand name which is shared by Hilton Hotel of the USA and Ladbrokes of theUK the Rolls-Royce brand licensed to car manufacturers VWBMW(Germany) by the UK aero-engines group Rolls-Royce the multiplicity ofidentities subsumed beneath the umbrella of the Virgin brand and the Co-op

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brand in the UK which serves as an umbrella brand for its labyrinthicorganisational structure The simplistic approach to organisational structureand strategy outlined above and the graphic design bias has in the authorrsquosopinion served to obfuscate business identityrsquos palpable affinity with corporatestrategy

Thirteenth explanation for the fog the emphasis assigned to Anglo-Saxonforms of business structuresFor the main the various literatures of business identity focus on Anglo-Saxonforms of business identity which is characterised by short termism and whereshareholders are accorded particular importance Little has appeared inEuropean journals with regard to non Anglo-Saxon forms of businessidentities As such it would appear that undue emphasis is accorded to verticalrather than to horizontal organisational structures

There is prima facie case to suggest that existing Anglo-Saxon theories ofbusiness identity are inappropriate to certain organisational structuresoperating in other countries due to cultural and economic reasons This canperhaps be most clearly seen in Japan and Korea The traditional Japanesekeiretsu structure which encompasses well known brand names such asMitsubishi Mitsui and Sumitomo differ from their Anglo-Saxon counterpartsin that they invariably include financial services companies that can providefinance to other members of the keiretsu Typically each keiretsu structurecontains

a commercial bank a trust bank and a life insurance company

each group contains a trading company which supports other membersof the group through the provision of such things as intelligence andproject management

there is cross-shareholdings of such groups which makes it difficult fora member of the group to be threatened with an aggressive take-over

in times of crisis members of the kieretsu group will provide supportfinancial or service to the beleaguered company and finally

there is a leading group of companies

The Korean chaebol structure is similar to the Japanese keiretsu structure withthe exception that first members of the founding family still in some instancesmanage the company and second the chaebol does not contain powerfulfinancial institutions or trading companies

What is clear from the above illustration is that Eastern businessrelationships are more complicated than those witnessed in many Anglo-Saxoncompanies that the visualbranding structure is invariably applied to a familyof more or less autonomous companies rather than to a single commercialconcern that the notion of internal communications takes on a particularlyimportant role vis-aAacute -vis communication between members of the kieretsuchaebol and that the external communication is more complicated This is

Corporate identitybranding and

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271

because each company of the group not only needs to support its own corporatecommunication efforts and reputation but also that of the group Here thegrouprsquos reputation will appear to act as a powerful control mechanismBalmerrsquos (1998) DEAR Model (Decisions are Evaluated Against theorganisationrsquosgrouprsquos Reputation) may be of use in this regard

It is important to recall that there are other forms of organisational structureoperating in the West other than Anglo-Saxon structures One approachprevalent in southern Europe and termed ` the Latin approachrsquorsquo is according toCova and Aubert-Gamet (1997) based on the view that marketing institutionsare less effective than proximate communities influencing peoplesrsquo behaviourCova coined the term ` societingrsquorsquo to encapsulate this approach A case in pointis the Rhine model of organisations which for obvious reasons is prevalent inthose nations bordering the Rhine Here there are flatter more community-focused structures

In Germany businesses are not dominated by big brand names In a 1989survey for Business Week Germany accounted for only 3 per cent of the worldrsquos1000 largest companies Germanyrsquos strength (and also that of Northern Italy)rests in its Mittelstand These are small to medium-sized family businesses InGermany the characteristics of such companies are

family owned

financiers or investors are not owners or controllers of the companies

the objective is long term survival and

stakeholdersrsquo groupings cannot so easily be broken down into internaland external stakeholders

Interestingly concern is shown to stakeholders of the future Table IV providesa summation of the Anglo-Saxon and the Rhine and Asian approaches

Fourteenth explanation of the fog weaknesses in early traditional marketingmodels of corporate identitycorporate image management and formationThe fourteenth weakness identified by the writer is the weaknesses in many ofthe more influential conceptual models of corporate imageidentityreputationformation (Abratt 1989 Dowling 1986 1993 and Kennedy 1977) It wouldappear that in some of these models the writers confuse corporate identity withcorporate image While the writer is critical of some of the models each of themmakes a valuable contribution to the debate on the area Certainly several ofthese models were at the cutting edge of the debate on the area at the time theywere published These four models will be examined in turn

Abrattrsquos model (1989)Abrattrsquos conceptual and prescriptive model has the objective of explaining thecorporate image management process and adopts an ` outside inrsquorsquo focus (animage reputation focus) rather than an inside out (an identity personalityfocus) Abrattrsquos model is most useful in that it attempts to integrate the

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problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

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273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

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challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

marketing

275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

EuropeanJournal ofMarketing3534

276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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Aberg L (1990) ` Theoretical model and praxis of total communicationsrsquorsquo International PublicRelations Review Vol 13 No 2

Abratt R (1989) ` A new approach to the corporate image management processrsquorsquo Journal of MarketingManagement Vol 5 No 1 pp 63-76

Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

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marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

EuropeanJournal ofMarketing3534

288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 8: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

Corporate identitybranding and

marketing

255

Table II

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Vis

ual

iden

tity

Bal

mer

(199

5)B

aker

and

Bal

mer

(199

7)

Chaj

etet

al

(199

3)

Dow

ling

(199

4)

Hen

rion

and

Par

kin

(196

7)M

elew

aran

dSau

nder

s(1

998

1999

)N

apol

es(1

988)

O

lins

(197

819

79)

Pildit

ch(1

971)

Je

nkin

s(1

991)

Sel

ame

and

Sel

ame

(197

5)

Sim

pso

n(1

979)

Ste

war

t(1

991)

(a)

One

mea

ns

by

whic

ha

busi

nes

sid

enti

tym

aybe

know

nor

in

dee

d

dis

guis

ed

An

audit

ofan

organ

isat

ionrsquos

sym

bol

ism

can

also

hel

pin

giv

ing

insi

ghts

into

anor

gan

isat

ionrsquos

corp

orat

eid

enti

tyo

rgan

isat

ional

iden

tity

T

he

mos

tpro

min

ent

aspec

tof

abusi

nes

sid

enti

tych

ange

pro

gra

mm

eT

he

only

par

tof

abusi

nes

sid

enti

tyw

hic

hca

nbe

effe

ctiv

ely

contr

olle

dby

senio

rm

anag

emen

t(b

)B

alm

errsquos

anal

ysi

sof

the

lite

ratu

rere

vea

led

that

auth

ors

ascr

ibe

four

funct

ions

tovis

ual

iden

tity

inth

atit

is(i)

use

dto

signal

chan

ge

inco

rpor

ate

stra

tegy(ii)

cult

ure

an

d(iii)

com

munic

atio

nSom

etim

esch

anges

are

under

taken

inor

der

toac

com

mod

ate

(iv)

chan

ges

infa

shio

nw

ith

regar

dto

gra

phic

des

ignO

linsrsquo

use

ful

cate

gor

isat

ion

ofvis

ual

iden

tity

into

mon

olit

hic

en

dor

sed

and

bra

nded

cate

gor

ies

has

bee

nw

idel

yad

opte

din

the

lite

ratu

reev

enth

oughas

Olins

adm

its

itra

rely

refl

ects

organ

isat

ional

real

ity

Cor

por

ate

imag

eA

bra

tt(1

989)

B

ernst

ein

(198

4)

Bro

wn

(199

8)

Bri

stol

(196

0)B

oors

ein

(196

1)

Bou

ldin

g(1

956)

B

udd

(196

9)C

raven

(198

6)

Dow

ling

(198

6)G

ray

(198

6)

Gra

yan

dSm

elze

r(1

985)

G

ray

and

Bal

mer

(199

8)G

runig

(199

3)K

enned

y(1

997)

L

indquis

t(1

974)

M

arti

nea

u(1

958)

Spec

tor

(196

1)V

anH

eerd

enan

dP

uth

(199

5)

Van

Rie

l(1

995)

W

orce

ster

(198

619

97)

(a)

One

ofth

ees

pou

sed

obje

ctiv

esof

effe

ctiv

ely

(or

non

-eff

ecti

vel

y)

man

agin

ga

busi

nes

sid

enti

tyie

th

ecr

eati

onof

apos

itiv

e(o

rneg

ativ

e)im

age

(b)

Ther

ear

eth

ree

bro

ad

dis

ciplinar

yap

pro

aches

toco

rpor

ate

imag

edra

wn

from

psy

chol

ogygra

phic

des

ign

and

from

public

rela

tion

sse

eB

row

n(1

998)

and

Bal

mer

(199

8)T

he

conce

pt

isim

por

tant

but

ispro

ble

mat

icdue

toth

em

ult

iplici

tyof

inte

rpre

tati

ons

and

neg

ativ

eas

soci

atio

ns

Ques

tion

sre

lati

ng

toit

s`m

anag

emen

trsquorsquoar

ein

her

entl

ypro

ble

mat

icC

once

pt

has

larg

ely

bee

nec

lipse

dby

that

ofth

eco

rpor

ate

reputa

tion

bot

hin

the

lite

ratu

rean

din

man

agem

ent

par

lance

V

ide

infr

a

(conti

nued

)

EuropeanJournal ofMarketing3534

256

Table II

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Cor

por

ate

per

sonal

ity

Abra

tt(1

989)

B

alm

eran

dW

ilso

n(1

998)

B

irkig

tan

dSta

dle

r(1

986)

L

ux

(198

6)

Olins

(197

8)V

anR

iel

and

Bal

mer

(199

7)

(a)

Akey

elem

ent

whic

hgiv

esa

busi

nes

sid

enti

tyit

sdis

tinct

iven

ess

and

rela

tes

toth

eat

titu

des

and

bel

iefs

ofth

ose

wit

hin

the

organ

isat

ion

Ther

efor

eth

ere

appea

rsto

be

apri

me

faci

eca

sefo

rlinkin

gth

eco

nce

pt

toor

gan

isat

ional

iden

tity

and

toth

eco

nce

pt

ofco

rpor

ate

cult

ure

V

ide

supra

(b

)O

lins

pos

tula

ted

that

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Corporate identitybranding and

marketing

257

Table IIIThe saliency of

identity and relatedconcepts in addressing

major organisationalconcerns

Concept Addresses key question Commentsexplanations

Corporate identity What are we Also involves addressing a series ofquestions including What is ourbusinessstructurestrategyethosmarketperformancehistory andreputationrelationships to otheridentities

Organisationalidentity (corporatepersonality)a

Who are we The mix of dominantascendantsubcultures withintranscending theorganisation Employeesrsquo relationshipswith myriad organisational identities(holding company subsidiaryiesdepartments original current andemergent identities) Professionalcultural industrial sexual identitiesetc

Visual identity (visualidentificationsystem)

What are theorganizationrsquos symbolsand system ofidentification

Do the organisationrsquos visual (and verbal)cues communicate whatwho we areWhatwho we were Whatwho wewish to be A mix of the above Isthere clarity or confusion Does itreflect or possibly inform currentstrategy

Corporatecommunication

Is there integratedcommunication

In relation to management organisationaland marketing communications Arethey integrated in terms ofmanagement philosophy and process

Total corporatecommunications

Is there congruency revertical and horizontalcommunication

Vertical between corporatecommunication corporate actionsperformance and behaviours andbetween third partiesHorizontal asabove but also congruency over time

Corporate image What is the currentperception andorprofile

In relation to the immediate mentalperception of the organisation held byan individual group or network

Corporate reputation What distinctiveattributes (if any) areassigned to theorganisation

The enduring perception held of anorganisation by an individual group ornetwork

Corporate brand What is the promiseinferred fromcommunicated by thebrand

Are these inferences accurate reflected inreality (the promiseperformance gap)shown in management commitment andunderpinnedmade explicit by effectivecommunications Vida supra

Note aThe traditional andor preferred marketing description

EuropeanJournal ofMarketing3534

258

author of this article calls ` the personality deficitrsquorsquo) Over time it is the mix ofsubcultures (corporate professional national etc) present within theorganisation that fills this void and gives it a collective personality albeit apersonality of many different elements (cf Balmer and Wilson 1998)

As Gioia (1998) noted

Like individuals organisations can be viewed as subsuming a multiplicity of identities eachof which is appropriate for a given context or audience Actually at the organisation level thenotion of the multiple identities is perhaps the key (if subtle) point of difference betweenindividuals and organisations

He continued

Thus organisations can plausibly present a complicated multifaceted identity eachcomponent of which is relevant to specific domains or constituents without appearinghopelessly fragmented or ludicrously schizophrenic as an individual might

The notion of multiple identities will be further explored in the 15th reason forthe fog

Second reason for the fog the existence of different paradigmatic viewsvis-aAacute-vis business identityrsquos raison drsquoeAtildetreThere are three distinct perspectives on how the business identity conceptshould be defined and explored The three perspectives are functionalistinterpretative and post-modern Gioia (1998) expounded the nature of thedebate taking place in each of these philosophical schools with regard toorganisational identity Here the modus vivendi is to uncover why and howemployees think and act in relation to their employerorganisation Theseparadigms also inform thought within other fields of business identity and ofcourse management studies generally

The functionalist lens regards business identity as a social fact Consequentlya business identity can be observed moulded and managed The key researchissues centre on uncovering describing and measuring a business identityObservation and psychometric instruments are the preferred research tools

The second paradigm embracing the interpretative perspective has as itsmain focus the understanding of how employees construct meaningsregarding who they are within an organisational environment Businessidentity is viewed as a socially constructed phenomenon with employeesseeking to give some level of meaning to their work existence The researchfocus is to uncover the meanings employees attach to their organisation Thestudy of organisational symbols underlines the methodical approach of thisparadigm

The final component of the troika of perspectives the post-modernparadigm seeks to disclose power-relationships regarding business identityThe emphasis focuses on complexity rather than on simplicity Businessidentity is regarded as a collection of transcendatory perspectives about howorganisational members view themselves Provocation and reflexivity

Corporate identitybranding and

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259

characterise the research process The main research tools are language anddiscourse While such schools may appear to be irreconcilable as Gioia (1998)observes they do give richness to the general understanding of the businessidentity concept as do other perspectives in this nascent area This is a keyleitmotif of this article and the author argues should characterise emerginguacuteuvre pertaining to business identity studies

Third reason for the fog multifarious disciplinary perspectives re business identityThe literatures pertaining to business identity and particularly to corporateidentity organisational identity and visual identification reveal a plethora ofperspectives with regard to first the scope of the various identity conceptsregarding various management disciplines and second the shiftingperspectives relating to the relationships between the three identity conceptsFigure 1 shows the various relationships that have been postulated in theliterature This illustrates the huge disparity between the nature and roAtildele ofidentity studies On closer examination it becomes apparent that some of thenarrower perspectives relate to what is more appropriately called visualidentity The final interdisciplinary approach represents the authorrsquos view thatbusiness identity studies will form the keystone of corporate marketingTaking up the metaphor of the silver lining outlined in the opening paragraphof this article it becomes apparent that while there has been a traditional lackof agreement on the nature and roAtildeles of identity Figure 1 does show that the(business) identity is an omnipresent concept across a whole spectrum ofmanagement and marketing areas

Fourth explanation for the fog a failure to make a distinction between theelements comprising a business identity and the elements to be considered inmanaging a business identityIt should be borne in mind that business identity in its various facets may beseen as concept philosophy and as a process Concept and philosophy will bediscussed in this section and the process will be examined under the fifthexplanation

The literature reveals a lack of consensus as to the elements which constitutea business identity (the business identity mix) as well as a failure to distinguishbetween the elements of the corporate identity management mix

The approach taken by Balmer and Soenen (1999) appears to be the first tomake a clear distinction between first the elements comprising a businessidentity and second the elements required of its management This businessidentity mix embraces a triumvirate of elements termed

(1) the soul (the subjective elements of business identity including thevalues held by personnel which find expression in the plethora ofsub-cultures and the mix of identity types present within organisations)

(2) the mind (the conscious decisions made by the organisation vis-aAacute -vis theespoused organisational ethos vision strategy and productperformance) and

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260

(3) the voice (this encompasses the multi-faceted way in whichorganisations communicate internally and externally to stakeholdergroups and networks and which is normally called ` total corporatecommunicationsrsquorsquo viz Balmer and Gray (1999)

Figure 1The evolvingrelationships betweencorporate identity andother conceptsdisciplines

Corporate identitybranding and

marketing

261

An additional trio of elements melding with the above form what Balmer andSoenen call the business identity management mix

The additional elements of Balmer and Soenenrsquos identity management mixare environmental forces (the need to take cognisance of this) stakeholders (theneed to be aware of stakeholders) and reputations (encompassing thereputation of the holding company its subsidiaries and business units thecountry-of-origin and the organisationrsquos partners such as alliance partners)

Mention may be made of those other authors who have attempted toarticulate the elements of a business identity These include Birkigt and Stadler(1986) the Mitsubishi Model of Japan (nd) and those by Schmidt (1995) andSteidl and Emory (1997)

Birkigt and Stadlerrsquos (1986) identity mix which is assigned a good deal ofimportance in Van Rielrsquos text (1995) and in a good deal of the subsequentliterature consists of a quartet of elements

(1) personality

(2) behaviour

(3) communication and

(4) symbolism

It would appear that this mix articulates the elements by which a businessidentity is known The mix emphasises the communications effect(s) of anorganisationrsquos behaviour communication policies and visual symbolism Themix is useful in revealing some of the major channels by which a businessidentity may be known and represents a distinct shift away from acategorisation of corporate identity in purely visual terms However incomparison to other more recent approaches it is somewhat narrow in scope

The primary objective of the Mitsubishi mix (nd) is to reveal those elementsthat constitute a business identity As with Balmer and Soenenrsquos (1999) mixthis approach draws on a trio of elements It is clear that a certain lineage maybe inferred between the English and Japanese approaches The Mitsubishi mixis segmented into what is called the mind identity (what the organisation isstriving to achieve) the strategic identity (the type of strategy which will causethe mind identity to become a reality) and the behaviour identity (the range andtypes of behaviour undertaken by the organisation)

Schmidtrsquos (1995) mix originating from the London-based Anglo-Germanconsultancy Henrion Ludlow and Schmidt comprises a quintet of elements

(1) corporate culture

(2) corporate behaviour

(3) market condition and strategies

(4) product and services and

(5) communication and design

EuropeanJournal ofMarketing3534

262

this clearly suggests it is a mix focusing on the management of businessidentity As such the mix takes cognisance of how an identity is revealed(through communications and design) but also assigns importance to marketconditions

Steidl and Emory (1997) have produced what is clearly a business identityrather than a business identity management mix As with Balmer and Soenen itwould appear that these two writers have been in part influenced by SinoNippon approaches to business identity and this is reflected in their choice ofterminology This Australian model is built around another trio of elementsthe mind (the philosophy and strategy through which the organisation securesthe support of customers) the spirit (the values of the organisation and theresponse this evokes amongst key stakeholder groups) and the body (the totalphysical infrastructure which is required to operate the business) Of note hereis the emphasis accorded to ` the bodyrsquorsquo which is not encompassed by the othermodels Rather surprisingly ` the bodyrsquorsquo does not encompass organisationalstructure Thus the author is of the view that a broader interpretationencompassing company structure would appear to be appropriate Theimportance of structure is similarly noted by Balmer and Gray (1999) Ind(1996) Morison (1997) and Stuart (1998a 1999b) The authorrsquos new identitymixes taking cognisance of the above comprises four elements and this isillustrated in Figure 2

Unlike the approaches used by Balmer and Soenen Schmidt and Steidl andEmory it has been decided to break with (at least from a British NorthAmerican and Commonwealth perspective) the practitioner legacy which usesthe human metaphor The four elements comprising this new mix are strategystructure communication and culture

The need to make a distinction between the variables comprising a businessidentity and the task elements to be considered with regard to the managementof a business identity mix is deserving of more attention by both scholars andpractitioners than has been the case to date

The implications of the authorrsquos new mix and those of many of other mixesis that researching a business identity involves using Gioiarsquos (1998 p 26)classification plusmn marrying the interpretive lens (with regard to understandingpersonnelrsquos various affinities to different identities) with the functionalist lens(with regard to the above parts of the mix) Consequently what is required is afurther breaking down of boundaries between research paradigms Thisprocess has implications not only for identity scholarship but also for identityconsultancy and management

Fifth explanation for the fog disagreement with regard to the objectives ofbusiness identity managementThe literature reveals a wide variety of purposes and objectives associated withbusiness identity management Balmerrsquos (1995) initial literature review

Corporate identitybranding and

marketing

263

revealed that corporate identity change programmes were variously used as avehicle to assist in

strategy formulation

culture-change

effective corporate communication

articulating a corporate strategy

articulatingchanging the organisationrsquos culture

acting as a platform for corporate communications and

ensuring that the organisationrsquos visual identity is fashionable

This is indicative of the multidisciplinary nature of the domain with the type ofidentity change reflecting the aspects of the organisationrsquos identity that requireattention

Significantly the effective management of a business identity has beenregarded as imbuing an organisation with a favourable image (cf Abratt 1989

Figure 2Balmerrsquos new identity

mix and identitymanagement mix

EuropeanJournal ofMarketing3534

264

Balmer 1995 Birkigt and Stadler 1986 Dowling 1994 Steidl and Emory 1997Tyrrell 1995 Van Rekom 1997) and more recently the acquisition of afavourable corporate reputation coupled with business survival andprofitability (Balmer and Stotvig 1997 Van Riel and Balmer 1997 Gray andBalmer 1998) The objective of acquiring a favourable corporate image hasfallen out of favour since the concept of the corporate image is fraught withdifficulty (Balmer 1998) The acquisition of a corporate brand on the otherhand has been identified as an objective of corporate identity management(Balmer 1999a) The ICIG statement reproduced in Appendix 1 cites a numberof possible objectives in relation to corporate identity management namely

fostering a sense of individuality

achieving differentiation in a competitive environment

providing disciplinary integration

providing a platform for coherent corporate communication

nurturing an image that is consistent with the organisationrsquos definingethos and character

nurturing understanding and commitment among stakeholders

attracting and retaining customers and employees

achieving strategic alliances and

gaining support of financial markets

Sixth explanation of the fog a traditional lack of dialogue between Anglophoneand non-Anglophone scholars and writersIn addition to the lack of dialogue between scholars from different disciplines anotable feature of the literature on business identity is how linguistic andcultural barriers have exerted an influence in the general understanding of thearea The most dramatic divide is between Anglophone and non-Anglophonenations For instance the literature on business identity emerging frommainland Europe appears to have developed quite independently from theNorth American literature and also from that of the UK and the old (British)Commonwealth and vice versa An example of this is the French school ofthought on corporate identity (Moingeon and Ramanantsoa 1997) TheNetherlands appears to be the exception to the rule owing to the linguisticdexterity of the peoples of that kingdom This can be seen in Van Rielrsquos (1995)influential text Principles of Corporate Communication which contains averitable cornucopia of international sources

Further afield questions of language have hindered our understanding ofSino and Japanese approaches to the area The current understanding ofbusiness identity in `Westernrsquorsquo nations might need to undertake a furtherradical reappraisal in order to accommodate what appear to be substantivedifferences of approach between ` Westernrsquorsquo and ` Asianrsquorsquo scholars of businessidentity Reference has already been made to the Mitsubishi mix According to

Corporate identitybranding and

marketing

265

Steidl and Emory (1997 pp 4-5) the Japanese approach to business identityadopts a radically different manner from that found in other nations They referto Motoo Nakanishi the chairman of one of Japanrsquos foremost businessconsultancies who states that Japanese business identity change programmesare characterised by their longevity in planning and implementation and thatthey are also dependent upon the CEO championing such a change In contrastNakanishi comments that US identity change programmes reflect the characterof the CEO to a greater extent than Asian approaches are similar to Japaneseprogrammes in their reliance on the CEO for their success are more project-orientated and are short-term in scope For their part Johansson and Hirano(1999) point out that in Asia there is a higher degree of parallelism betweenindividual and corporate objectives than in the West cf Balmer and Wilson(1998)

Seventh explanation for the fog the traditional lack of dialogue betweenresearchers from different disciplinesThe business identity literatures encompass distinctive and not so distinctiveschools of thought business communications and corporate communications(Cheney and Christensen 1999 Van Riel 1995) graphic design (Olins 1995Schmidt 1995) image and image-research (Brown 1998 Barich and Kotler1991 Worcester 19861997) marketing (Abratt 1989) organisationalbehaviour (Albert and Whetten 1985 Mael and Ashforth 1992) publicrelations (Grunig 1993) psychology (Bromley 1993) reputation (Fombrun1996) and strategy (Gray and Smeltzer 1985 Marwick and Fill 1997 Morison1997) A multi-disciplinary approach is adopted by Balmer (1995 1998) with astrong marketingcommunications emphasis

Despite the wealth of disciplines the degree of cross fertilisation of ideas andinsights from these literatures is comparatively slight It would appear thatbusiness identity issues have to a large degree matured along narrow verticaland disciplinary paradigms There has been little in the way of multi-disciplinary holistic development This may be placed in the context of thevarious business identity mixes articulated by Balmer and Soenen (1997)Birkigt and Stadler (1986) Schmidt (1995) and Steidl and Emory (1997) thatclearly demand that a broad multi-disciplinary approach be adopted

Mention may also be made of Whetten and Godfreyrsquos (1998) book Identity inOrganisations where academics from a number of disciplines discuss variousfacets of the business identity world However there is a paucity of materialemanating from British Commonwealth and European sources in this text andfor the main little from the marketing literature is marshalled This may becontrasted with the recent marketing literature where organisationalbehaviourists for instance have made a significant contribution

Eighth explanation for the fog the association with graphic designThe importance accorded to graphic design in the business identity literaturehas exacerbated the confusion surrounding the area and may in retrospect be

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266

seen to have exerted a deleterious influence regarding the conceptualisation ofidentity In the past this has led to the business identity domain being narrowlyconceived Some writers with backgrounds in marketing and communicationhave accorded symbolism the same importance as other business identityelements such as behaviour and communication viz Birkigt and Stadler (1986)The emphasis accorded to graphic design in business identity studies has beenperpetuated by many so-called corporate identity consultancies who are to allintents and purposes graphic design consultancies Research undertaken byMORI revealed that significant numbers of managers in UK and Europe stillequate UK-based corporate identity with graphic design (cf Schmidt 1995)Such has been the influence of graphic design that it has almost becomeaxiomatic that any change of business identity will have an attendant changeof visual identity The author has not to date discovered a case where acorporate identity consultancy advising a client during a business identitychange programme has not as a minimum tweaked the corporate logo This isa curious state of affairs and again raises some profound questions Wolff Olins(Europersquos largest corporate identity consultancy) in their ` Guide to corporateidentityrsquorsquo produced for the UK weekly magazine Marketing (1990 pp 19-24)made this very point

Because of corporate identityrsquos roots in design it will probably entail a new or revised logodesign

With the passing of ten years little appears to have altered For instance themajority of personnel employed by corporate identity consultancies tend tohave a background in graphic design The author is of the view that thegraphic design emphasis ascribed to business identity has thrown the area outof kilter This has had the unfortunate effect of stifling a broader moresophisticated and scholarly appreciation of business identity The distinctcorporate identity and organisational identity literatures although somewhatparvenu in relation to the visual identity literature have without doubt made aprofound contribution to the general understanding of business identity overrecent years What is required is for a more balanced appraisal to take place vis-aAacute -vis the power of visual identity and of graphic design in what is starting to beknown as the corporate identity mixbusiness identity mix What is not refutedby the author is that visual identification does unquestionably have powerVan Riel (1995) pointed out the wide impact of visual communication when hewrote that the average lorry is capable of delivering 7-9 million visualimpressions per year or about 60 per kilometre Empirical work undertaken byMelewar and Saunders (1998) revealed the benefit of standardised globalcorporate visual identity systems Furthermore the use of what is known as` the visual auditrsquorsquo (an examination of the organisationrsquos symbolism and brandstructure) has been shown to be a most effective initial means ofcomprehending an organisationrsquos cultures power-base strategies andcommunication As such the visual audit may provide useful insights into anorganisationrsquos identity

Corporate identitybranding and

marketing

267

However whereas a visual audit may reveal symptoms of inherent corporatemalaise many organisations fall into the trap of resorting to the initiation of anew visual identity as a means of correcting what can be profoundorganisational difficulties This may suggest a degree of naivety on the part ofsome senior managers and consultancies in failing to differentiate between thecauses and the symptoms (visual-identity) of a weak inconsistent negative orunwanted business identity As a result of this approach a number of authorstend to define corporate identity in prosaic terms namely ` what anorganisation isrsquorsquo While inadequate as a definition it does help to distance thearea from the narrow graphic design perspective

The emphasis on the visual has had another unfortunate effect in cloudingover the importance of the other senses of sound scent taste and touch Itwould be perverse to suggest that visually impaired customers employees orinvestors are unable to recognise differentiate between or form opinions oforganisations Upon reflection it becomes apparent that the non-visual sensescan be just as powerful in communicating the identity of a collective group Forexample the aural sense has a dominant role in the recognition of the identitiesof radio stations The aural sense also helps to differentiate one nation statefrom another via the use of languages and national anthems Important lessonscan in this regard be learned from ancient institutions such as the CatholicChurch which marshals all the senses to forge an impressive panoply ofsignals to support the Catholic Churchrsquos tenets and beliefs Although theCatholic Church has in recent years offered a somewhat flaccid version of itsidentity it is still possible to experience the effect of marshalling of all thesenses in an experience which is unique to the Catholic faith Thus at atraditional solemn celebration of the liturgy at Londonrsquos Brompton Oratorythe churchrsquos distinctiveness is communicated through among otherssymbolism (vestments church furnishings architecture posture of clergy andlaity) sound (Latin Gregorian chant and polyphony) smell (incense) touch(holy water) and taste (taking the sacrament)

Ninth explanation for the fog the effect of fashionVagaries in fashion in the use of concepts have played their part in thickeningthe fog surrounding the area A would-be scholar of business identity studieshas to show a good deal of perspicacity not only in accommodating the richvariety of concepts in use but also in exerting acute vigilance in theirassessment of what he or she understands by the concept The effects offashion can clearly be seen in the 1950s and 1960s when much attention wasfocused on the concept of the ` corporate imagersquorsquo Yet in the 1970s ` corporateidentityrsquorsquo grew in popularity and to some degree was used in preference to` corporate imagersquorsquo The corporate identityconcept was not only used as asurrogate for ` image managementrsquorsquo but has been viewed by some authors suchas Dowling (1994) as being fundamentally concerned with visual identityOthers saw the concept as embracing the distinct characteristics of anorganisation (Van Riel and Balmer 1997) In recent years reference to the

EuropeanJournal ofMarketing3534

268

` corporate brandrsquorsquo or what is sometimes termed ` service brandingrsquorsquo (cf Balmer1995 De Chernatony 1999) has replaced reference to ` corporate identityrsquorsquo Ofparticular note is corporate reputation which as a concept has been in theascendant over recent years and has almost eclipsed references to the corporateimage in the literature and in management parlance What is apparent is thattoo many practitioners and some scholars have tended to regard the emergenceof a new concept as a replacement to what has gone before rather thanconsidering each new concept for its potential in building on what preceded itand furthering therefore the general understanding of the creationmanagement and saliency of business identity

Tenth explanation for the fog the inappropriateness of the positivistic researchparadigm in the initial stage of theory generation vis-aAacute-vis identityUndue attention has been given to measuring the outcomes and benefits ofeffective business identity management Providing a firm foundation regardingthe nature andor driving forces of business identity will do much to lift the fogsurrounding the area In this regard the research paradigm of naturalism isperhaps more appropriate than positivism in explaining a phenomenon such ascorporate identity which has not previously been subjected to a great deal ofempirical research viz Van Mannen (1985) Case studies can also be usefulwith regard to theory building research in the field of corporate identity Oliver(1997) argued the importance of case study research albeit in relation tocorporate communication and stated that formal theories do develop from casestudies Oliver is supported in her view by others including Gill and Johnson(1991) and Yin (1984)

While some caution needs to be applied to the maxim found in VirgilrsquosAeneid ` ab uno disce omnesrsquorsquo (from one learn all) it would perhaps be equallyperverse to suggest the opposite that nothing is gained from the findings ofcase studies This is after all the modus operandi underpinning HarvardBusiness Schoolrsquos pedagogical approach

Deshpande (1983) notes that quantitative methods are more suitable fortheory testing than theory generation Vankatesh (1985 p 62) commented thatthe emphasis on empirical research data analysis and quantitative modellingoffers little potential for theory generation As such the author argues thatmarketing scholars should give a greater emphasis to qualitative and casestudy research

Eleventh explanation for the fog the paucity of empirical academic researchThree reasons are postulated by the writer as to why there has been a lack ofpublished empirical research

(1) Until recently the traditional lack of interest from all but a fewmanagement academics

(2) The difficulty in getting published in mainstream management journals

(3) The difficulty in undertaking research into corporate identity

Corporate identitybranding and

marketing

269

Invariably business identity issues encompass issues that are of particularsensitivity and have fundamental importance to organisations and their seniormanagement Therefore researchers are likely to experience acute difficulty inresearching changes of business identity which probe into the quintessence ofan organisationrsquos existence and which can propel to the fore issues of greatsensitivity and political importance In addition new scholars are likely to havethe wherewithall to extrapolate data and disseminate their findings throughlearned journals

Although this traditionally has been the case it is difficult to say whetherthis is a cause or effect vis-aAacute -vis points (1) to (3) Perhaps all elements have madea contribution What is encouraging is that more scholars are embarking onresearch into this business identity and this is represented in the burgeoningnumber of candidates embarking upon doctoral research in corporate identitySignificant empirical research to date includes that by Balmer and Wilson(1998) relating to the BBC and a major UK high street bank Dutton andDukerichrsquos (1991) research on the New York port authority Elsbach andKramerrsquos (1996) research in US universities Gioia and Thomasrsquos (1996)investigation relating to universities and Van Rekomrsquos (1997) study focusing ona sector of the Dutch tourism industry

Twelfth explanation for the fog undue focus being accorded to the businessidentities of holding companiesparent organisationsThe literature reveals a bias towards the identities of holding or parentcompanies with insufficient attention being given to the identities ofsubsidiaries as well as to industrial identities alliances licensing arrangementsand to federal types of organisational structures An exception to the latter wasBalmerrsquos (1996) research which focused on BBC Scotland plusmn a subsidiary of theBBC The emphasis accorded to the identities of parent organisations hasperhaps resulted in a far too simplistic categorisation regarding therelationship between subsidiaries business units and the holding companyThis can be seen in Olinsrsquos (1978) highly influential tripartite categorisation ofbusiness identities which he calls monolithic endorsed and brandedAlthough this is a useful basic classification it disguises the fact that parent-subsidiary relationships are invariably more complicated as evinced byKammerer (1989) Furthermore insufficient attention is given to the industry-wide generic identities with the exception of Balmer and Wilkinson (1991) andWilkinson and Balmer (1996)

Upon reflection there are other identity types such as the identity ofalliances including the ` Starrsquorsquo ` One Worldrsquorsquo and ` Wingsrsquorsquo airline alliances theidentity of consortiums such as the European Airbus and the sharing of abrand name by several important companies Examples include the Hiltonbrand name which is shared by Hilton Hotel of the USA and Ladbrokes of theUK the Rolls-Royce brand licensed to car manufacturers VWBMW(Germany) by the UK aero-engines group Rolls-Royce the multiplicity ofidentities subsumed beneath the umbrella of the Virgin brand and the Co-op

EuropeanJournal ofMarketing3534

270

brand in the UK which serves as an umbrella brand for its labyrinthicorganisational structure The simplistic approach to organisational structureand strategy outlined above and the graphic design bias has in the authorrsquosopinion served to obfuscate business identityrsquos palpable affinity with corporatestrategy

Thirteenth explanation for the fog the emphasis assigned to Anglo-Saxonforms of business structuresFor the main the various literatures of business identity focus on Anglo-Saxonforms of business identity which is characterised by short termism and whereshareholders are accorded particular importance Little has appeared inEuropean journals with regard to non Anglo-Saxon forms of businessidentities As such it would appear that undue emphasis is accorded to verticalrather than to horizontal organisational structures

There is prima facie case to suggest that existing Anglo-Saxon theories ofbusiness identity are inappropriate to certain organisational structuresoperating in other countries due to cultural and economic reasons This canperhaps be most clearly seen in Japan and Korea The traditional Japanesekeiretsu structure which encompasses well known brand names such asMitsubishi Mitsui and Sumitomo differ from their Anglo-Saxon counterpartsin that they invariably include financial services companies that can providefinance to other members of the keiretsu Typically each keiretsu structurecontains

a commercial bank a trust bank and a life insurance company

each group contains a trading company which supports other membersof the group through the provision of such things as intelligence andproject management

there is cross-shareholdings of such groups which makes it difficult fora member of the group to be threatened with an aggressive take-over

in times of crisis members of the kieretsu group will provide supportfinancial or service to the beleaguered company and finally

there is a leading group of companies

The Korean chaebol structure is similar to the Japanese keiretsu structure withthe exception that first members of the founding family still in some instancesmanage the company and second the chaebol does not contain powerfulfinancial institutions or trading companies

What is clear from the above illustration is that Eastern businessrelationships are more complicated than those witnessed in many Anglo-Saxoncompanies that the visualbranding structure is invariably applied to a familyof more or less autonomous companies rather than to a single commercialconcern that the notion of internal communications takes on a particularlyimportant role vis-aAacute -vis communication between members of the kieretsuchaebol and that the external communication is more complicated This is

Corporate identitybranding and

marketing

271

because each company of the group not only needs to support its own corporatecommunication efforts and reputation but also that of the group Here thegrouprsquos reputation will appear to act as a powerful control mechanismBalmerrsquos (1998) DEAR Model (Decisions are Evaluated Against theorganisationrsquosgrouprsquos Reputation) may be of use in this regard

It is important to recall that there are other forms of organisational structureoperating in the West other than Anglo-Saxon structures One approachprevalent in southern Europe and termed ` the Latin approachrsquorsquo is according toCova and Aubert-Gamet (1997) based on the view that marketing institutionsare less effective than proximate communities influencing peoplesrsquo behaviourCova coined the term ` societingrsquorsquo to encapsulate this approach A case in pointis the Rhine model of organisations which for obvious reasons is prevalent inthose nations bordering the Rhine Here there are flatter more community-focused structures

In Germany businesses are not dominated by big brand names In a 1989survey for Business Week Germany accounted for only 3 per cent of the worldrsquos1000 largest companies Germanyrsquos strength (and also that of Northern Italy)rests in its Mittelstand These are small to medium-sized family businesses InGermany the characteristics of such companies are

family owned

financiers or investors are not owners or controllers of the companies

the objective is long term survival and

stakeholdersrsquo groupings cannot so easily be broken down into internaland external stakeholders

Interestingly concern is shown to stakeholders of the future Table IV providesa summation of the Anglo-Saxon and the Rhine and Asian approaches

Fourteenth explanation of the fog weaknesses in early traditional marketingmodels of corporate identitycorporate image management and formationThe fourteenth weakness identified by the writer is the weaknesses in many ofthe more influential conceptual models of corporate imageidentityreputationformation (Abratt 1989 Dowling 1986 1993 and Kennedy 1977) It wouldappear that in some of these models the writers confuse corporate identity withcorporate image While the writer is critical of some of the models each of themmakes a valuable contribution to the debate on the area Certainly several ofthese models were at the cutting edge of the debate on the area at the time theywere published These four models will be examined in turn

Abrattrsquos model (1989)Abrattrsquos conceptual and prescriptive model has the objective of explaining thecorporate image management process and adopts an ` outside inrsquorsquo focus (animage reputation focus) rather than an inside out (an identity personalityfocus) Abrattrsquos model is most useful in that it attempts to integrate the

EuropeanJournal ofMarketing3534

272

problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

marketing

273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

EuropeanJournal ofMarketing3534

274

challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

marketing

275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

EuropeanJournal ofMarketing3534

276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

References

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Abratt R (1989) ` A new approach to the corporate image management processrsquorsquo Journal of MarketingManagement Vol 5 No 1 pp 63-76

Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

Corporate identitybranding and

marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

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288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 9: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

EuropeanJournal ofMarketing3534

256

Table II

Con

cept

Key

sourc

es(a

)R

elat

ionsh

ipto

busi

nes

sid

enti

ty(b

)Sum

mar

yof

char

acte

rist

ics

Cor

por

ate

per

sonal

ity

Abra

tt(1

989)

B

alm

eran

dW

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Corporate identitybranding and

marketing

257

Table IIIThe saliency of

identity and relatedconcepts in addressing

major organisationalconcerns

Concept Addresses key question Commentsexplanations

Corporate identity What are we Also involves addressing a series ofquestions including What is ourbusinessstructurestrategyethosmarketperformancehistory andreputationrelationships to otheridentities

Organisationalidentity (corporatepersonality)a

Who are we The mix of dominantascendantsubcultures withintranscending theorganisation Employeesrsquo relationshipswith myriad organisational identities(holding company subsidiaryiesdepartments original current andemergent identities) Professionalcultural industrial sexual identitiesetc

Visual identity (visualidentificationsystem)

What are theorganizationrsquos symbolsand system ofidentification

Do the organisationrsquos visual (and verbal)cues communicate whatwho we areWhatwho we were Whatwho wewish to be A mix of the above Isthere clarity or confusion Does itreflect or possibly inform currentstrategy

Corporatecommunication

Is there integratedcommunication

In relation to management organisationaland marketing communications Arethey integrated in terms ofmanagement philosophy and process

Total corporatecommunications

Is there congruency revertical and horizontalcommunication

Vertical between corporatecommunication corporate actionsperformance and behaviours andbetween third partiesHorizontal asabove but also congruency over time

Corporate image What is the currentperception andorprofile

In relation to the immediate mentalperception of the organisation held byan individual group or network

Corporate reputation What distinctiveattributes (if any) areassigned to theorganisation

The enduring perception held of anorganisation by an individual group ornetwork

Corporate brand What is the promiseinferred fromcommunicated by thebrand

Are these inferences accurate reflected inreality (the promiseperformance gap)shown in management commitment andunderpinnedmade explicit by effectivecommunications Vida supra

Note aThe traditional andor preferred marketing description

EuropeanJournal ofMarketing3534

258

author of this article calls ` the personality deficitrsquorsquo) Over time it is the mix ofsubcultures (corporate professional national etc) present within theorganisation that fills this void and gives it a collective personality albeit apersonality of many different elements (cf Balmer and Wilson 1998)

As Gioia (1998) noted

Like individuals organisations can be viewed as subsuming a multiplicity of identities eachof which is appropriate for a given context or audience Actually at the organisation level thenotion of the multiple identities is perhaps the key (if subtle) point of difference betweenindividuals and organisations

He continued

Thus organisations can plausibly present a complicated multifaceted identity eachcomponent of which is relevant to specific domains or constituents without appearinghopelessly fragmented or ludicrously schizophrenic as an individual might

The notion of multiple identities will be further explored in the 15th reason forthe fog

Second reason for the fog the existence of different paradigmatic viewsvis-aAacute-vis business identityrsquos raison drsquoeAtildetreThere are three distinct perspectives on how the business identity conceptshould be defined and explored The three perspectives are functionalistinterpretative and post-modern Gioia (1998) expounded the nature of thedebate taking place in each of these philosophical schools with regard toorganisational identity Here the modus vivendi is to uncover why and howemployees think and act in relation to their employerorganisation Theseparadigms also inform thought within other fields of business identity and ofcourse management studies generally

The functionalist lens regards business identity as a social fact Consequentlya business identity can be observed moulded and managed The key researchissues centre on uncovering describing and measuring a business identityObservation and psychometric instruments are the preferred research tools

The second paradigm embracing the interpretative perspective has as itsmain focus the understanding of how employees construct meaningsregarding who they are within an organisational environment Businessidentity is viewed as a socially constructed phenomenon with employeesseeking to give some level of meaning to their work existence The researchfocus is to uncover the meanings employees attach to their organisation Thestudy of organisational symbols underlines the methodical approach of thisparadigm

The final component of the troika of perspectives the post-modernparadigm seeks to disclose power-relationships regarding business identityThe emphasis focuses on complexity rather than on simplicity Businessidentity is regarded as a collection of transcendatory perspectives about howorganisational members view themselves Provocation and reflexivity

Corporate identitybranding and

marketing

259

characterise the research process The main research tools are language anddiscourse While such schools may appear to be irreconcilable as Gioia (1998)observes they do give richness to the general understanding of the businessidentity concept as do other perspectives in this nascent area This is a keyleitmotif of this article and the author argues should characterise emerginguacuteuvre pertaining to business identity studies

Third reason for the fog multifarious disciplinary perspectives re business identityThe literatures pertaining to business identity and particularly to corporateidentity organisational identity and visual identification reveal a plethora ofperspectives with regard to first the scope of the various identity conceptsregarding various management disciplines and second the shiftingperspectives relating to the relationships between the three identity conceptsFigure 1 shows the various relationships that have been postulated in theliterature This illustrates the huge disparity between the nature and roAtildele ofidentity studies On closer examination it becomes apparent that some of thenarrower perspectives relate to what is more appropriately called visualidentity The final interdisciplinary approach represents the authorrsquos view thatbusiness identity studies will form the keystone of corporate marketingTaking up the metaphor of the silver lining outlined in the opening paragraphof this article it becomes apparent that while there has been a traditional lackof agreement on the nature and roAtildeles of identity Figure 1 does show that the(business) identity is an omnipresent concept across a whole spectrum ofmanagement and marketing areas

Fourth explanation for the fog a failure to make a distinction between theelements comprising a business identity and the elements to be considered inmanaging a business identityIt should be borne in mind that business identity in its various facets may beseen as concept philosophy and as a process Concept and philosophy will bediscussed in this section and the process will be examined under the fifthexplanation

The literature reveals a lack of consensus as to the elements which constitutea business identity (the business identity mix) as well as a failure to distinguishbetween the elements of the corporate identity management mix

The approach taken by Balmer and Soenen (1999) appears to be the first tomake a clear distinction between first the elements comprising a businessidentity and second the elements required of its management This businessidentity mix embraces a triumvirate of elements termed

(1) the soul (the subjective elements of business identity including thevalues held by personnel which find expression in the plethora ofsub-cultures and the mix of identity types present within organisations)

(2) the mind (the conscious decisions made by the organisation vis-aAacute -vis theespoused organisational ethos vision strategy and productperformance) and

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260

(3) the voice (this encompasses the multi-faceted way in whichorganisations communicate internally and externally to stakeholdergroups and networks and which is normally called ` total corporatecommunicationsrsquorsquo viz Balmer and Gray (1999)

Figure 1The evolvingrelationships betweencorporate identity andother conceptsdisciplines

Corporate identitybranding and

marketing

261

An additional trio of elements melding with the above form what Balmer andSoenen call the business identity management mix

The additional elements of Balmer and Soenenrsquos identity management mixare environmental forces (the need to take cognisance of this) stakeholders (theneed to be aware of stakeholders) and reputations (encompassing thereputation of the holding company its subsidiaries and business units thecountry-of-origin and the organisationrsquos partners such as alliance partners)

Mention may be made of those other authors who have attempted toarticulate the elements of a business identity These include Birkigt and Stadler(1986) the Mitsubishi Model of Japan (nd) and those by Schmidt (1995) andSteidl and Emory (1997)

Birkigt and Stadlerrsquos (1986) identity mix which is assigned a good deal ofimportance in Van Rielrsquos text (1995) and in a good deal of the subsequentliterature consists of a quartet of elements

(1) personality

(2) behaviour

(3) communication and

(4) symbolism

It would appear that this mix articulates the elements by which a businessidentity is known The mix emphasises the communications effect(s) of anorganisationrsquos behaviour communication policies and visual symbolism Themix is useful in revealing some of the major channels by which a businessidentity may be known and represents a distinct shift away from acategorisation of corporate identity in purely visual terms However incomparison to other more recent approaches it is somewhat narrow in scope

The primary objective of the Mitsubishi mix (nd) is to reveal those elementsthat constitute a business identity As with Balmer and Soenenrsquos (1999) mixthis approach draws on a trio of elements It is clear that a certain lineage maybe inferred between the English and Japanese approaches The Mitsubishi mixis segmented into what is called the mind identity (what the organisation isstriving to achieve) the strategic identity (the type of strategy which will causethe mind identity to become a reality) and the behaviour identity (the range andtypes of behaviour undertaken by the organisation)

Schmidtrsquos (1995) mix originating from the London-based Anglo-Germanconsultancy Henrion Ludlow and Schmidt comprises a quintet of elements

(1) corporate culture

(2) corporate behaviour

(3) market condition and strategies

(4) product and services and

(5) communication and design

EuropeanJournal ofMarketing3534

262

this clearly suggests it is a mix focusing on the management of businessidentity As such the mix takes cognisance of how an identity is revealed(through communications and design) but also assigns importance to marketconditions

Steidl and Emory (1997) have produced what is clearly a business identityrather than a business identity management mix As with Balmer and Soenen itwould appear that these two writers have been in part influenced by SinoNippon approaches to business identity and this is reflected in their choice ofterminology This Australian model is built around another trio of elementsthe mind (the philosophy and strategy through which the organisation securesthe support of customers) the spirit (the values of the organisation and theresponse this evokes amongst key stakeholder groups) and the body (the totalphysical infrastructure which is required to operate the business) Of note hereis the emphasis accorded to ` the bodyrsquorsquo which is not encompassed by the othermodels Rather surprisingly ` the bodyrsquorsquo does not encompass organisationalstructure Thus the author is of the view that a broader interpretationencompassing company structure would appear to be appropriate Theimportance of structure is similarly noted by Balmer and Gray (1999) Ind(1996) Morison (1997) and Stuart (1998a 1999b) The authorrsquos new identitymixes taking cognisance of the above comprises four elements and this isillustrated in Figure 2

Unlike the approaches used by Balmer and Soenen Schmidt and Steidl andEmory it has been decided to break with (at least from a British NorthAmerican and Commonwealth perspective) the practitioner legacy which usesthe human metaphor The four elements comprising this new mix are strategystructure communication and culture

The need to make a distinction between the variables comprising a businessidentity and the task elements to be considered with regard to the managementof a business identity mix is deserving of more attention by both scholars andpractitioners than has been the case to date

The implications of the authorrsquos new mix and those of many of other mixesis that researching a business identity involves using Gioiarsquos (1998 p 26)classification plusmn marrying the interpretive lens (with regard to understandingpersonnelrsquos various affinities to different identities) with the functionalist lens(with regard to the above parts of the mix) Consequently what is required is afurther breaking down of boundaries between research paradigms Thisprocess has implications not only for identity scholarship but also for identityconsultancy and management

Fifth explanation for the fog disagreement with regard to the objectives ofbusiness identity managementThe literature reveals a wide variety of purposes and objectives associated withbusiness identity management Balmerrsquos (1995) initial literature review

Corporate identitybranding and

marketing

263

revealed that corporate identity change programmes were variously used as avehicle to assist in

strategy formulation

culture-change

effective corporate communication

articulating a corporate strategy

articulatingchanging the organisationrsquos culture

acting as a platform for corporate communications and

ensuring that the organisationrsquos visual identity is fashionable

This is indicative of the multidisciplinary nature of the domain with the type ofidentity change reflecting the aspects of the organisationrsquos identity that requireattention

Significantly the effective management of a business identity has beenregarded as imbuing an organisation with a favourable image (cf Abratt 1989

Figure 2Balmerrsquos new identity

mix and identitymanagement mix

EuropeanJournal ofMarketing3534

264

Balmer 1995 Birkigt and Stadler 1986 Dowling 1994 Steidl and Emory 1997Tyrrell 1995 Van Rekom 1997) and more recently the acquisition of afavourable corporate reputation coupled with business survival andprofitability (Balmer and Stotvig 1997 Van Riel and Balmer 1997 Gray andBalmer 1998) The objective of acquiring a favourable corporate image hasfallen out of favour since the concept of the corporate image is fraught withdifficulty (Balmer 1998) The acquisition of a corporate brand on the otherhand has been identified as an objective of corporate identity management(Balmer 1999a) The ICIG statement reproduced in Appendix 1 cites a numberof possible objectives in relation to corporate identity management namely

fostering a sense of individuality

achieving differentiation in a competitive environment

providing disciplinary integration

providing a platform for coherent corporate communication

nurturing an image that is consistent with the organisationrsquos definingethos and character

nurturing understanding and commitment among stakeholders

attracting and retaining customers and employees

achieving strategic alliances and

gaining support of financial markets

Sixth explanation of the fog a traditional lack of dialogue between Anglophoneand non-Anglophone scholars and writersIn addition to the lack of dialogue between scholars from different disciplines anotable feature of the literature on business identity is how linguistic andcultural barriers have exerted an influence in the general understanding of thearea The most dramatic divide is between Anglophone and non-Anglophonenations For instance the literature on business identity emerging frommainland Europe appears to have developed quite independently from theNorth American literature and also from that of the UK and the old (British)Commonwealth and vice versa An example of this is the French school ofthought on corporate identity (Moingeon and Ramanantsoa 1997) TheNetherlands appears to be the exception to the rule owing to the linguisticdexterity of the peoples of that kingdom This can be seen in Van Rielrsquos (1995)influential text Principles of Corporate Communication which contains averitable cornucopia of international sources

Further afield questions of language have hindered our understanding ofSino and Japanese approaches to the area The current understanding ofbusiness identity in `Westernrsquorsquo nations might need to undertake a furtherradical reappraisal in order to accommodate what appear to be substantivedifferences of approach between ` Westernrsquorsquo and ` Asianrsquorsquo scholars of businessidentity Reference has already been made to the Mitsubishi mix According to

Corporate identitybranding and

marketing

265

Steidl and Emory (1997 pp 4-5) the Japanese approach to business identityadopts a radically different manner from that found in other nations They referto Motoo Nakanishi the chairman of one of Japanrsquos foremost businessconsultancies who states that Japanese business identity change programmesare characterised by their longevity in planning and implementation and thatthey are also dependent upon the CEO championing such a change In contrastNakanishi comments that US identity change programmes reflect the characterof the CEO to a greater extent than Asian approaches are similar to Japaneseprogrammes in their reliance on the CEO for their success are more project-orientated and are short-term in scope For their part Johansson and Hirano(1999) point out that in Asia there is a higher degree of parallelism betweenindividual and corporate objectives than in the West cf Balmer and Wilson(1998)

Seventh explanation for the fog the traditional lack of dialogue betweenresearchers from different disciplinesThe business identity literatures encompass distinctive and not so distinctiveschools of thought business communications and corporate communications(Cheney and Christensen 1999 Van Riel 1995) graphic design (Olins 1995Schmidt 1995) image and image-research (Brown 1998 Barich and Kotler1991 Worcester 19861997) marketing (Abratt 1989) organisationalbehaviour (Albert and Whetten 1985 Mael and Ashforth 1992) publicrelations (Grunig 1993) psychology (Bromley 1993) reputation (Fombrun1996) and strategy (Gray and Smeltzer 1985 Marwick and Fill 1997 Morison1997) A multi-disciplinary approach is adopted by Balmer (1995 1998) with astrong marketingcommunications emphasis

Despite the wealth of disciplines the degree of cross fertilisation of ideas andinsights from these literatures is comparatively slight It would appear thatbusiness identity issues have to a large degree matured along narrow verticaland disciplinary paradigms There has been little in the way of multi-disciplinary holistic development This may be placed in the context of thevarious business identity mixes articulated by Balmer and Soenen (1997)Birkigt and Stadler (1986) Schmidt (1995) and Steidl and Emory (1997) thatclearly demand that a broad multi-disciplinary approach be adopted

Mention may also be made of Whetten and Godfreyrsquos (1998) book Identity inOrganisations where academics from a number of disciplines discuss variousfacets of the business identity world However there is a paucity of materialemanating from British Commonwealth and European sources in this text andfor the main little from the marketing literature is marshalled This may becontrasted with the recent marketing literature where organisationalbehaviourists for instance have made a significant contribution

Eighth explanation for the fog the association with graphic designThe importance accorded to graphic design in the business identity literaturehas exacerbated the confusion surrounding the area and may in retrospect be

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266

seen to have exerted a deleterious influence regarding the conceptualisation ofidentity In the past this has led to the business identity domain being narrowlyconceived Some writers with backgrounds in marketing and communicationhave accorded symbolism the same importance as other business identityelements such as behaviour and communication viz Birkigt and Stadler (1986)The emphasis accorded to graphic design in business identity studies has beenperpetuated by many so-called corporate identity consultancies who are to allintents and purposes graphic design consultancies Research undertaken byMORI revealed that significant numbers of managers in UK and Europe stillequate UK-based corporate identity with graphic design (cf Schmidt 1995)Such has been the influence of graphic design that it has almost becomeaxiomatic that any change of business identity will have an attendant changeof visual identity The author has not to date discovered a case where acorporate identity consultancy advising a client during a business identitychange programme has not as a minimum tweaked the corporate logo This isa curious state of affairs and again raises some profound questions Wolff Olins(Europersquos largest corporate identity consultancy) in their ` Guide to corporateidentityrsquorsquo produced for the UK weekly magazine Marketing (1990 pp 19-24)made this very point

Because of corporate identityrsquos roots in design it will probably entail a new or revised logodesign

With the passing of ten years little appears to have altered For instance themajority of personnel employed by corporate identity consultancies tend tohave a background in graphic design The author is of the view that thegraphic design emphasis ascribed to business identity has thrown the area outof kilter This has had the unfortunate effect of stifling a broader moresophisticated and scholarly appreciation of business identity The distinctcorporate identity and organisational identity literatures although somewhatparvenu in relation to the visual identity literature have without doubt made aprofound contribution to the general understanding of business identity overrecent years What is required is for a more balanced appraisal to take place vis-aAacute -vis the power of visual identity and of graphic design in what is starting to beknown as the corporate identity mixbusiness identity mix What is not refutedby the author is that visual identification does unquestionably have powerVan Riel (1995) pointed out the wide impact of visual communication when hewrote that the average lorry is capable of delivering 7-9 million visualimpressions per year or about 60 per kilometre Empirical work undertaken byMelewar and Saunders (1998) revealed the benefit of standardised globalcorporate visual identity systems Furthermore the use of what is known as` the visual auditrsquorsquo (an examination of the organisationrsquos symbolism and brandstructure) has been shown to be a most effective initial means ofcomprehending an organisationrsquos cultures power-base strategies andcommunication As such the visual audit may provide useful insights into anorganisationrsquos identity

Corporate identitybranding and

marketing

267

However whereas a visual audit may reveal symptoms of inherent corporatemalaise many organisations fall into the trap of resorting to the initiation of anew visual identity as a means of correcting what can be profoundorganisational difficulties This may suggest a degree of naivety on the part ofsome senior managers and consultancies in failing to differentiate between thecauses and the symptoms (visual-identity) of a weak inconsistent negative orunwanted business identity As a result of this approach a number of authorstend to define corporate identity in prosaic terms namely ` what anorganisation isrsquorsquo While inadequate as a definition it does help to distance thearea from the narrow graphic design perspective

The emphasis on the visual has had another unfortunate effect in cloudingover the importance of the other senses of sound scent taste and touch Itwould be perverse to suggest that visually impaired customers employees orinvestors are unable to recognise differentiate between or form opinions oforganisations Upon reflection it becomes apparent that the non-visual sensescan be just as powerful in communicating the identity of a collective group Forexample the aural sense has a dominant role in the recognition of the identitiesof radio stations The aural sense also helps to differentiate one nation statefrom another via the use of languages and national anthems Important lessonscan in this regard be learned from ancient institutions such as the CatholicChurch which marshals all the senses to forge an impressive panoply ofsignals to support the Catholic Churchrsquos tenets and beliefs Although theCatholic Church has in recent years offered a somewhat flaccid version of itsidentity it is still possible to experience the effect of marshalling of all thesenses in an experience which is unique to the Catholic faith Thus at atraditional solemn celebration of the liturgy at Londonrsquos Brompton Oratorythe churchrsquos distinctiveness is communicated through among otherssymbolism (vestments church furnishings architecture posture of clergy andlaity) sound (Latin Gregorian chant and polyphony) smell (incense) touch(holy water) and taste (taking the sacrament)

Ninth explanation for the fog the effect of fashionVagaries in fashion in the use of concepts have played their part in thickeningthe fog surrounding the area A would-be scholar of business identity studieshas to show a good deal of perspicacity not only in accommodating the richvariety of concepts in use but also in exerting acute vigilance in theirassessment of what he or she understands by the concept The effects offashion can clearly be seen in the 1950s and 1960s when much attention wasfocused on the concept of the ` corporate imagersquorsquo Yet in the 1970s ` corporateidentityrsquorsquo grew in popularity and to some degree was used in preference to` corporate imagersquorsquo The corporate identityconcept was not only used as asurrogate for ` image managementrsquorsquo but has been viewed by some authors suchas Dowling (1994) as being fundamentally concerned with visual identityOthers saw the concept as embracing the distinct characteristics of anorganisation (Van Riel and Balmer 1997) In recent years reference to the

EuropeanJournal ofMarketing3534

268

` corporate brandrsquorsquo or what is sometimes termed ` service brandingrsquorsquo (cf Balmer1995 De Chernatony 1999) has replaced reference to ` corporate identityrsquorsquo Ofparticular note is corporate reputation which as a concept has been in theascendant over recent years and has almost eclipsed references to the corporateimage in the literature and in management parlance What is apparent is thattoo many practitioners and some scholars have tended to regard the emergenceof a new concept as a replacement to what has gone before rather thanconsidering each new concept for its potential in building on what preceded itand furthering therefore the general understanding of the creationmanagement and saliency of business identity

Tenth explanation for the fog the inappropriateness of the positivistic researchparadigm in the initial stage of theory generation vis-aAacute-vis identityUndue attention has been given to measuring the outcomes and benefits ofeffective business identity management Providing a firm foundation regardingthe nature andor driving forces of business identity will do much to lift the fogsurrounding the area In this regard the research paradigm of naturalism isperhaps more appropriate than positivism in explaining a phenomenon such ascorporate identity which has not previously been subjected to a great deal ofempirical research viz Van Mannen (1985) Case studies can also be usefulwith regard to theory building research in the field of corporate identity Oliver(1997) argued the importance of case study research albeit in relation tocorporate communication and stated that formal theories do develop from casestudies Oliver is supported in her view by others including Gill and Johnson(1991) and Yin (1984)

While some caution needs to be applied to the maxim found in VirgilrsquosAeneid ` ab uno disce omnesrsquorsquo (from one learn all) it would perhaps be equallyperverse to suggest the opposite that nothing is gained from the findings ofcase studies This is after all the modus operandi underpinning HarvardBusiness Schoolrsquos pedagogical approach

Deshpande (1983) notes that quantitative methods are more suitable fortheory testing than theory generation Vankatesh (1985 p 62) commented thatthe emphasis on empirical research data analysis and quantitative modellingoffers little potential for theory generation As such the author argues thatmarketing scholars should give a greater emphasis to qualitative and casestudy research

Eleventh explanation for the fog the paucity of empirical academic researchThree reasons are postulated by the writer as to why there has been a lack ofpublished empirical research

(1) Until recently the traditional lack of interest from all but a fewmanagement academics

(2) The difficulty in getting published in mainstream management journals

(3) The difficulty in undertaking research into corporate identity

Corporate identitybranding and

marketing

269

Invariably business identity issues encompass issues that are of particularsensitivity and have fundamental importance to organisations and their seniormanagement Therefore researchers are likely to experience acute difficulty inresearching changes of business identity which probe into the quintessence ofan organisationrsquos existence and which can propel to the fore issues of greatsensitivity and political importance In addition new scholars are likely to havethe wherewithall to extrapolate data and disseminate their findings throughlearned journals

Although this traditionally has been the case it is difficult to say whetherthis is a cause or effect vis-aAacute -vis points (1) to (3) Perhaps all elements have madea contribution What is encouraging is that more scholars are embarking onresearch into this business identity and this is represented in the burgeoningnumber of candidates embarking upon doctoral research in corporate identitySignificant empirical research to date includes that by Balmer and Wilson(1998) relating to the BBC and a major UK high street bank Dutton andDukerichrsquos (1991) research on the New York port authority Elsbach andKramerrsquos (1996) research in US universities Gioia and Thomasrsquos (1996)investigation relating to universities and Van Rekomrsquos (1997) study focusing ona sector of the Dutch tourism industry

Twelfth explanation for the fog undue focus being accorded to the businessidentities of holding companiesparent organisationsThe literature reveals a bias towards the identities of holding or parentcompanies with insufficient attention being given to the identities ofsubsidiaries as well as to industrial identities alliances licensing arrangementsand to federal types of organisational structures An exception to the latter wasBalmerrsquos (1996) research which focused on BBC Scotland plusmn a subsidiary of theBBC The emphasis accorded to the identities of parent organisations hasperhaps resulted in a far too simplistic categorisation regarding therelationship between subsidiaries business units and the holding companyThis can be seen in Olinsrsquos (1978) highly influential tripartite categorisation ofbusiness identities which he calls monolithic endorsed and brandedAlthough this is a useful basic classification it disguises the fact that parent-subsidiary relationships are invariably more complicated as evinced byKammerer (1989) Furthermore insufficient attention is given to the industry-wide generic identities with the exception of Balmer and Wilkinson (1991) andWilkinson and Balmer (1996)

Upon reflection there are other identity types such as the identity ofalliances including the ` Starrsquorsquo ` One Worldrsquorsquo and ` Wingsrsquorsquo airline alliances theidentity of consortiums such as the European Airbus and the sharing of abrand name by several important companies Examples include the Hiltonbrand name which is shared by Hilton Hotel of the USA and Ladbrokes of theUK the Rolls-Royce brand licensed to car manufacturers VWBMW(Germany) by the UK aero-engines group Rolls-Royce the multiplicity ofidentities subsumed beneath the umbrella of the Virgin brand and the Co-op

EuropeanJournal ofMarketing3534

270

brand in the UK which serves as an umbrella brand for its labyrinthicorganisational structure The simplistic approach to organisational structureand strategy outlined above and the graphic design bias has in the authorrsquosopinion served to obfuscate business identityrsquos palpable affinity with corporatestrategy

Thirteenth explanation for the fog the emphasis assigned to Anglo-Saxonforms of business structuresFor the main the various literatures of business identity focus on Anglo-Saxonforms of business identity which is characterised by short termism and whereshareholders are accorded particular importance Little has appeared inEuropean journals with regard to non Anglo-Saxon forms of businessidentities As such it would appear that undue emphasis is accorded to verticalrather than to horizontal organisational structures

There is prima facie case to suggest that existing Anglo-Saxon theories ofbusiness identity are inappropriate to certain organisational structuresoperating in other countries due to cultural and economic reasons This canperhaps be most clearly seen in Japan and Korea The traditional Japanesekeiretsu structure which encompasses well known brand names such asMitsubishi Mitsui and Sumitomo differ from their Anglo-Saxon counterpartsin that they invariably include financial services companies that can providefinance to other members of the keiretsu Typically each keiretsu structurecontains

a commercial bank a trust bank and a life insurance company

each group contains a trading company which supports other membersof the group through the provision of such things as intelligence andproject management

there is cross-shareholdings of such groups which makes it difficult fora member of the group to be threatened with an aggressive take-over

in times of crisis members of the kieretsu group will provide supportfinancial or service to the beleaguered company and finally

there is a leading group of companies

The Korean chaebol structure is similar to the Japanese keiretsu structure withthe exception that first members of the founding family still in some instancesmanage the company and second the chaebol does not contain powerfulfinancial institutions or trading companies

What is clear from the above illustration is that Eastern businessrelationships are more complicated than those witnessed in many Anglo-Saxoncompanies that the visualbranding structure is invariably applied to a familyof more or less autonomous companies rather than to a single commercialconcern that the notion of internal communications takes on a particularlyimportant role vis-aAacute -vis communication between members of the kieretsuchaebol and that the external communication is more complicated This is

Corporate identitybranding and

marketing

271

because each company of the group not only needs to support its own corporatecommunication efforts and reputation but also that of the group Here thegrouprsquos reputation will appear to act as a powerful control mechanismBalmerrsquos (1998) DEAR Model (Decisions are Evaluated Against theorganisationrsquosgrouprsquos Reputation) may be of use in this regard

It is important to recall that there are other forms of organisational structureoperating in the West other than Anglo-Saxon structures One approachprevalent in southern Europe and termed ` the Latin approachrsquorsquo is according toCova and Aubert-Gamet (1997) based on the view that marketing institutionsare less effective than proximate communities influencing peoplesrsquo behaviourCova coined the term ` societingrsquorsquo to encapsulate this approach A case in pointis the Rhine model of organisations which for obvious reasons is prevalent inthose nations bordering the Rhine Here there are flatter more community-focused structures

In Germany businesses are not dominated by big brand names In a 1989survey for Business Week Germany accounted for only 3 per cent of the worldrsquos1000 largest companies Germanyrsquos strength (and also that of Northern Italy)rests in its Mittelstand These are small to medium-sized family businesses InGermany the characteristics of such companies are

family owned

financiers or investors are not owners or controllers of the companies

the objective is long term survival and

stakeholdersrsquo groupings cannot so easily be broken down into internaland external stakeholders

Interestingly concern is shown to stakeholders of the future Table IV providesa summation of the Anglo-Saxon and the Rhine and Asian approaches

Fourteenth explanation of the fog weaknesses in early traditional marketingmodels of corporate identitycorporate image management and formationThe fourteenth weakness identified by the writer is the weaknesses in many ofthe more influential conceptual models of corporate imageidentityreputationformation (Abratt 1989 Dowling 1986 1993 and Kennedy 1977) It wouldappear that in some of these models the writers confuse corporate identity withcorporate image While the writer is critical of some of the models each of themmakes a valuable contribution to the debate on the area Certainly several ofthese models were at the cutting edge of the debate on the area at the time theywere published These four models will be examined in turn

Abrattrsquos model (1989)Abrattrsquos conceptual and prescriptive model has the objective of explaining thecorporate image management process and adopts an ` outside inrsquorsquo focus (animage reputation focus) rather than an inside out (an identity personalityfocus) Abrattrsquos model is most useful in that it attempts to integrate the

EuropeanJournal ofMarketing3534

272

problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

marketing

273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

EuropeanJournal ofMarketing3534

274

challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

marketing

275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

EuropeanJournal ofMarketing3534

276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

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291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 10: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

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257

Table IIIThe saliency of

identity and relatedconcepts in addressing

major organisationalconcerns

Concept Addresses key question Commentsexplanations

Corporate identity What are we Also involves addressing a series ofquestions including What is ourbusinessstructurestrategyethosmarketperformancehistory andreputationrelationships to otheridentities

Organisationalidentity (corporatepersonality)a

Who are we The mix of dominantascendantsubcultures withintranscending theorganisation Employeesrsquo relationshipswith myriad organisational identities(holding company subsidiaryiesdepartments original current andemergent identities) Professionalcultural industrial sexual identitiesetc

Visual identity (visualidentificationsystem)

What are theorganizationrsquos symbolsand system ofidentification

Do the organisationrsquos visual (and verbal)cues communicate whatwho we areWhatwho we were Whatwho wewish to be A mix of the above Isthere clarity or confusion Does itreflect or possibly inform currentstrategy

Corporatecommunication

Is there integratedcommunication

In relation to management organisationaland marketing communications Arethey integrated in terms ofmanagement philosophy and process

Total corporatecommunications

Is there congruency revertical and horizontalcommunication

Vertical between corporatecommunication corporate actionsperformance and behaviours andbetween third partiesHorizontal asabove but also congruency over time

Corporate image What is the currentperception andorprofile

In relation to the immediate mentalperception of the organisation held byan individual group or network

Corporate reputation What distinctiveattributes (if any) areassigned to theorganisation

The enduring perception held of anorganisation by an individual group ornetwork

Corporate brand What is the promiseinferred fromcommunicated by thebrand

Are these inferences accurate reflected inreality (the promiseperformance gap)shown in management commitment andunderpinnedmade explicit by effectivecommunications Vida supra

Note aThe traditional andor preferred marketing description

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258

author of this article calls ` the personality deficitrsquorsquo) Over time it is the mix ofsubcultures (corporate professional national etc) present within theorganisation that fills this void and gives it a collective personality albeit apersonality of many different elements (cf Balmer and Wilson 1998)

As Gioia (1998) noted

Like individuals organisations can be viewed as subsuming a multiplicity of identities eachof which is appropriate for a given context or audience Actually at the organisation level thenotion of the multiple identities is perhaps the key (if subtle) point of difference betweenindividuals and organisations

He continued

Thus organisations can plausibly present a complicated multifaceted identity eachcomponent of which is relevant to specific domains or constituents without appearinghopelessly fragmented or ludicrously schizophrenic as an individual might

The notion of multiple identities will be further explored in the 15th reason forthe fog

Second reason for the fog the existence of different paradigmatic viewsvis-aAacute-vis business identityrsquos raison drsquoeAtildetreThere are three distinct perspectives on how the business identity conceptshould be defined and explored The three perspectives are functionalistinterpretative and post-modern Gioia (1998) expounded the nature of thedebate taking place in each of these philosophical schools with regard toorganisational identity Here the modus vivendi is to uncover why and howemployees think and act in relation to their employerorganisation Theseparadigms also inform thought within other fields of business identity and ofcourse management studies generally

The functionalist lens regards business identity as a social fact Consequentlya business identity can be observed moulded and managed The key researchissues centre on uncovering describing and measuring a business identityObservation and psychometric instruments are the preferred research tools

The second paradigm embracing the interpretative perspective has as itsmain focus the understanding of how employees construct meaningsregarding who they are within an organisational environment Businessidentity is viewed as a socially constructed phenomenon with employeesseeking to give some level of meaning to their work existence The researchfocus is to uncover the meanings employees attach to their organisation Thestudy of organisational symbols underlines the methodical approach of thisparadigm

The final component of the troika of perspectives the post-modernparadigm seeks to disclose power-relationships regarding business identityThe emphasis focuses on complexity rather than on simplicity Businessidentity is regarded as a collection of transcendatory perspectives about howorganisational members view themselves Provocation and reflexivity

Corporate identitybranding and

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259

characterise the research process The main research tools are language anddiscourse While such schools may appear to be irreconcilable as Gioia (1998)observes they do give richness to the general understanding of the businessidentity concept as do other perspectives in this nascent area This is a keyleitmotif of this article and the author argues should characterise emerginguacuteuvre pertaining to business identity studies

Third reason for the fog multifarious disciplinary perspectives re business identityThe literatures pertaining to business identity and particularly to corporateidentity organisational identity and visual identification reveal a plethora ofperspectives with regard to first the scope of the various identity conceptsregarding various management disciplines and second the shiftingperspectives relating to the relationships between the three identity conceptsFigure 1 shows the various relationships that have been postulated in theliterature This illustrates the huge disparity between the nature and roAtildele ofidentity studies On closer examination it becomes apparent that some of thenarrower perspectives relate to what is more appropriately called visualidentity The final interdisciplinary approach represents the authorrsquos view thatbusiness identity studies will form the keystone of corporate marketingTaking up the metaphor of the silver lining outlined in the opening paragraphof this article it becomes apparent that while there has been a traditional lackof agreement on the nature and roAtildeles of identity Figure 1 does show that the(business) identity is an omnipresent concept across a whole spectrum ofmanagement and marketing areas

Fourth explanation for the fog a failure to make a distinction between theelements comprising a business identity and the elements to be considered inmanaging a business identityIt should be borne in mind that business identity in its various facets may beseen as concept philosophy and as a process Concept and philosophy will bediscussed in this section and the process will be examined under the fifthexplanation

The literature reveals a lack of consensus as to the elements which constitutea business identity (the business identity mix) as well as a failure to distinguishbetween the elements of the corporate identity management mix

The approach taken by Balmer and Soenen (1999) appears to be the first tomake a clear distinction between first the elements comprising a businessidentity and second the elements required of its management This businessidentity mix embraces a triumvirate of elements termed

(1) the soul (the subjective elements of business identity including thevalues held by personnel which find expression in the plethora ofsub-cultures and the mix of identity types present within organisations)

(2) the mind (the conscious decisions made by the organisation vis-aAacute -vis theespoused organisational ethos vision strategy and productperformance) and

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260

(3) the voice (this encompasses the multi-faceted way in whichorganisations communicate internally and externally to stakeholdergroups and networks and which is normally called ` total corporatecommunicationsrsquorsquo viz Balmer and Gray (1999)

Figure 1The evolvingrelationships betweencorporate identity andother conceptsdisciplines

Corporate identitybranding and

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261

An additional trio of elements melding with the above form what Balmer andSoenen call the business identity management mix

The additional elements of Balmer and Soenenrsquos identity management mixare environmental forces (the need to take cognisance of this) stakeholders (theneed to be aware of stakeholders) and reputations (encompassing thereputation of the holding company its subsidiaries and business units thecountry-of-origin and the organisationrsquos partners such as alliance partners)

Mention may be made of those other authors who have attempted toarticulate the elements of a business identity These include Birkigt and Stadler(1986) the Mitsubishi Model of Japan (nd) and those by Schmidt (1995) andSteidl and Emory (1997)

Birkigt and Stadlerrsquos (1986) identity mix which is assigned a good deal ofimportance in Van Rielrsquos text (1995) and in a good deal of the subsequentliterature consists of a quartet of elements

(1) personality

(2) behaviour

(3) communication and

(4) symbolism

It would appear that this mix articulates the elements by which a businessidentity is known The mix emphasises the communications effect(s) of anorganisationrsquos behaviour communication policies and visual symbolism Themix is useful in revealing some of the major channels by which a businessidentity may be known and represents a distinct shift away from acategorisation of corporate identity in purely visual terms However incomparison to other more recent approaches it is somewhat narrow in scope

The primary objective of the Mitsubishi mix (nd) is to reveal those elementsthat constitute a business identity As with Balmer and Soenenrsquos (1999) mixthis approach draws on a trio of elements It is clear that a certain lineage maybe inferred between the English and Japanese approaches The Mitsubishi mixis segmented into what is called the mind identity (what the organisation isstriving to achieve) the strategic identity (the type of strategy which will causethe mind identity to become a reality) and the behaviour identity (the range andtypes of behaviour undertaken by the organisation)

Schmidtrsquos (1995) mix originating from the London-based Anglo-Germanconsultancy Henrion Ludlow and Schmidt comprises a quintet of elements

(1) corporate culture

(2) corporate behaviour

(3) market condition and strategies

(4) product and services and

(5) communication and design

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262

this clearly suggests it is a mix focusing on the management of businessidentity As such the mix takes cognisance of how an identity is revealed(through communications and design) but also assigns importance to marketconditions

Steidl and Emory (1997) have produced what is clearly a business identityrather than a business identity management mix As with Balmer and Soenen itwould appear that these two writers have been in part influenced by SinoNippon approaches to business identity and this is reflected in their choice ofterminology This Australian model is built around another trio of elementsthe mind (the philosophy and strategy through which the organisation securesthe support of customers) the spirit (the values of the organisation and theresponse this evokes amongst key stakeholder groups) and the body (the totalphysical infrastructure which is required to operate the business) Of note hereis the emphasis accorded to ` the bodyrsquorsquo which is not encompassed by the othermodels Rather surprisingly ` the bodyrsquorsquo does not encompass organisationalstructure Thus the author is of the view that a broader interpretationencompassing company structure would appear to be appropriate Theimportance of structure is similarly noted by Balmer and Gray (1999) Ind(1996) Morison (1997) and Stuart (1998a 1999b) The authorrsquos new identitymixes taking cognisance of the above comprises four elements and this isillustrated in Figure 2

Unlike the approaches used by Balmer and Soenen Schmidt and Steidl andEmory it has been decided to break with (at least from a British NorthAmerican and Commonwealth perspective) the practitioner legacy which usesthe human metaphor The four elements comprising this new mix are strategystructure communication and culture

The need to make a distinction between the variables comprising a businessidentity and the task elements to be considered with regard to the managementof a business identity mix is deserving of more attention by both scholars andpractitioners than has been the case to date

The implications of the authorrsquos new mix and those of many of other mixesis that researching a business identity involves using Gioiarsquos (1998 p 26)classification plusmn marrying the interpretive lens (with regard to understandingpersonnelrsquos various affinities to different identities) with the functionalist lens(with regard to the above parts of the mix) Consequently what is required is afurther breaking down of boundaries between research paradigms Thisprocess has implications not only for identity scholarship but also for identityconsultancy and management

Fifth explanation for the fog disagreement with regard to the objectives ofbusiness identity managementThe literature reveals a wide variety of purposes and objectives associated withbusiness identity management Balmerrsquos (1995) initial literature review

Corporate identitybranding and

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263

revealed that corporate identity change programmes were variously used as avehicle to assist in

strategy formulation

culture-change

effective corporate communication

articulating a corporate strategy

articulatingchanging the organisationrsquos culture

acting as a platform for corporate communications and

ensuring that the organisationrsquos visual identity is fashionable

This is indicative of the multidisciplinary nature of the domain with the type ofidentity change reflecting the aspects of the organisationrsquos identity that requireattention

Significantly the effective management of a business identity has beenregarded as imbuing an organisation with a favourable image (cf Abratt 1989

Figure 2Balmerrsquos new identity

mix and identitymanagement mix

EuropeanJournal ofMarketing3534

264

Balmer 1995 Birkigt and Stadler 1986 Dowling 1994 Steidl and Emory 1997Tyrrell 1995 Van Rekom 1997) and more recently the acquisition of afavourable corporate reputation coupled with business survival andprofitability (Balmer and Stotvig 1997 Van Riel and Balmer 1997 Gray andBalmer 1998) The objective of acquiring a favourable corporate image hasfallen out of favour since the concept of the corporate image is fraught withdifficulty (Balmer 1998) The acquisition of a corporate brand on the otherhand has been identified as an objective of corporate identity management(Balmer 1999a) The ICIG statement reproduced in Appendix 1 cites a numberof possible objectives in relation to corporate identity management namely

fostering a sense of individuality

achieving differentiation in a competitive environment

providing disciplinary integration

providing a platform for coherent corporate communication

nurturing an image that is consistent with the organisationrsquos definingethos and character

nurturing understanding and commitment among stakeholders

attracting and retaining customers and employees

achieving strategic alliances and

gaining support of financial markets

Sixth explanation of the fog a traditional lack of dialogue between Anglophoneand non-Anglophone scholars and writersIn addition to the lack of dialogue between scholars from different disciplines anotable feature of the literature on business identity is how linguistic andcultural barriers have exerted an influence in the general understanding of thearea The most dramatic divide is between Anglophone and non-Anglophonenations For instance the literature on business identity emerging frommainland Europe appears to have developed quite independently from theNorth American literature and also from that of the UK and the old (British)Commonwealth and vice versa An example of this is the French school ofthought on corporate identity (Moingeon and Ramanantsoa 1997) TheNetherlands appears to be the exception to the rule owing to the linguisticdexterity of the peoples of that kingdom This can be seen in Van Rielrsquos (1995)influential text Principles of Corporate Communication which contains averitable cornucopia of international sources

Further afield questions of language have hindered our understanding ofSino and Japanese approaches to the area The current understanding ofbusiness identity in `Westernrsquorsquo nations might need to undertake a furtherradical reappraisal in order to accommodate what appear to be substantivedifferences of approach between ` Westernrsquorsquo and ` Asianrsquorsquo scholars of businessidentity Reference has already been made to the Mitsubishi mix According to

Corporate identitybranding and

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265

Steidl and Emory (1997 pp 4-5) the Japanese approach to business identityadopts a radically different manner from that found in other nations They referto Motoo Nakanishi the chairman of one of Japanrsquos foremost businessconsultancies who states that Japanese business identity change programmesare characterised by their longevity in planning and implementation and thatthey are also dependent upon the CEO championing such a change In contrastNakanishi comments that US identity change programmes reflect the characterof the CEO to a greater extent than Asian approaches are similar to Japaneseprogrammes in their reliance on the CEO for their success are more project-orientated and are short-term in scope For their part Johansson and Hirano(1999) point out that in Asia there is a higher degree of parallelism betweenindividual and corporate objectives than in the West cf Balmer and Wilson(1998)

Seventh explanation for the fog the traditional lack of dialogue betweenresearchers from different disciplinesThe business identity literatures encompass distinctive and not so distinctiveschools of thought business communications and corporate communications(Cheney and Christensen 1999 Van Riel 1995) graphic design (Olins 1995Schmidt 1995) image and image-research (Brown 1998 Barich and Kotler1991 Worcester 19861997) marketing (Abratt 1989) organisationalbehaviour (Albert and Whetten 1985 Mael and Ashforth 1992) publicrelations (Grunig 1993) psychology (Bromley 1993) reputation (Fombrun1996) and strategy (Gray and Smeltzer 1985 Marwick and Fill 1997 Morison1997) A multi-disciplinary approach is adopted by Balmer (1995 1998) with astrong marketingcommunications emphasis

Despite the wealth of disciplines the degree of cross fertilisation of ideas andinsights from these literatures is comparatively slight It would appear thatbusiness identity issues have to a large degree matured along narrow verticaland disciplinary paradigms There has been little in the way of multi-disciplinary holistic development This may be placed in the context of thevarious business identity mixes articulated by Balmer and Soenen (1997)Birkigt and Stadler (1986) Schmidt (1995) and Steidl and Emory (1997) thatclearly demand that a broad multi-disciplinary approach be adopted

Mention may also be made of Whetten and Godfreyrsquos (1998) book Identity inOrganisations where academics from a number of disciplines discuss variousfacets of the business identity world However there is a paucity of materialemanating from British Commonwealth and European sources in this text andfor the main little from the marketing literature is marshalled This may becontrasted with the recent marketing literature where organisationalbehaviourists for instance have made a significant contribution

Eighth explanation for the fog the association with graphic designThe importance accorded to graphic design in the business identity literaturehas exacerbated the confusion surrounding the area and may in retrospect be

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seen to have exerted a deleterious influence regarding the conceptualisation ofidentity In the past this has led to the business identity domain being narrowlyconceived Some writers with backgrounds in marketing and communicationhave accorded symbolism the same importance as other business identityelements such as behaviour and communication viz Birkigt and Stadler (1986)The emphasis accorded to graphic design in business identity studies has beenperpetuated by many so-called corporate identity consultancies who are to allintents and purposes graphic design consultancies Research undertaken byMORI revealed that significant numbers of managers in UK and Europe stillequate UK-based corporate identity with graphic design (cf Schmidt 1995)Such has been the influence of graphic design that it has almost becomeaxiomatic that any change of business identity will have an attendant changeof visual identity The author has not to date discovered a case where acorporate identity consultancy advising a client during a business identitychange programme has not as a minimum tweaked the corporate logo This isa curious state of affairs and again raises some profound questions Wolff Olins(Europersquos largest corporate identity consultancy) in their ` Guide to corporateidentityrsquorsquo produced for the UK weekly magazine Marketing (1990 pp 19-24)made this very point

Because of corporate identityrsquos roots in design it will probably entail a new or revised logodesign

With the passing of ten years little appears to have altered For instance themajority of personnel employed by corporate identity consultancies tend tohave a background in graphic design The author is of the view that thegraphic design emphasis ascribed to business identity has thrown the area outof kilter This has had the unfortunate effect of stifling a broader moresophisticated and scholarly appreciation of business identity The distinctcorporate identity and organisational identity literatures although somewhatparvenu in relation to the visual identity literature have without doubt made aprofound contribution to the general understanding of business identity overrecent years What is required is for a more balanced appraisal to take place vis-aAacute -vis the power of visual identity and of graphic design in what is starting to beknown as the corporate identity mixbusiness identity mix What is not refutedby the author is that visual identification does unquestionably have powerVan Riel (1995) pointed out the wide impact of visual communication when hewrote that the average lorry is capable of delivering 7-9 million visualimpressions per year or about 60 per kilometre Empirical work undertaken byMelewar and Saunders (1998) revealed the benefit of standardised globalcorporate visual identity systems Furthermore the use of what is known as` the visual auditrsquorsquo (an examination of the organisationrsquos symbolism and brandstructure) has been shown to be a most effective initial means ofcomprehending an organisationrsquos cultures power-base strategies andcommunication As such the visual audit may provide useful insights into anorganisationrsquos identity

Corporate identitybranding and

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267

However whereas a visual audit may reveal symptoms of inherent corporatemalaise many organisations fall into the trap of resorting to the initiation of anew visual identity as a means of correcting what can be profoundorganisational difficulties This may suggest a degree of naivety on the part ofsome senior managers and consultancies in failing to differentiate between thecauses and the symptoms (visual-identity) of a weak inconsistent negative orunwanted business identity As a result of this approach a number of authorstend to define corporate identity in prosaic terms namely ` what anorganisation isrsquorsquo While inadequate as a definition it does help to distance thearea from the narrow graphic design perspective

The emphasis on the visual has had another unfortunate effect in cloudingover the importance of the other senses of sound scent taste and touch Itwould be perverse to suggest that visually impaired customers employees orinvestors are unable to recognise differentiate between or form opinions oforganisations Upon reflection it becomes apparent that the non-visual sensescan be just as powerful in communicating the identity of a collective group Forexample the aural sense has a dominant role in the recognition of the identitiesof radio stations The aural sense also helps to differentiate one nation statefrom another via the use of languages and national anthems Important lessonscan in this regard be learned from ancient institutions such as the CatholicChurch which marshals all the senses to forge an impressive panoply ofsignals to support the Catholic Churchrsquos tenets and beliefs Although theCatholic Church has in recent years offered a somewhat flaccid version of itsidentity it is still possible to experience the effect of marshalling of all thesenses in an experience which is unique to the Catholic faith Thus at atraditional solemn celebration of the liturgy at Londonrsquos Brompton Oratorythe churchrsquos distinctiveness is communicated through among otherssymbolism (vestments church furnishings architecture posture of clergy andlaity) sound (Latin Gregorian chant and polyphony) smell (incense) touch(holy water) and taste (taking the sacrament)

Ninth explanation for the fog the effect of fashionVagaries in fashion in the use of concepts have played their part in thickeningthe fog surrounding the area A would-be scholar of business identity studieshas to show a good deal of perspicacity not only in accommodating the richvariety of concepts in use but also in exerting acute vigilance in theirassessment of what he or she understands by the concept The effects offashion can clearly be seen in the 1950s and 1960s when much attention wasfocused on the concept of the ` corporate imagersquorsquo Yet in the 1970s ` corporateidentityrsquorsquo grew in popularity and to some degree was used in preference to` corporate imagersquorsquo The corporate identityconcept was not only used as asurrogate for ` image managementrsquorsquo but has been viewed by some authors suchas Dowling (1994) as being fundamentally concerned with visual identityOthers saw the concept as embracing the distinct characteristics of anorganisation (Van Riel and Balmer 1997) In recent years reference to the

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268

` corporate brandrsquorsquo or what is sometimes termed ` service brandingrsquorsquo (cf Balmer1995 De Chernatony 1999) has replaced reference to ` corporate identityrsquorsquo Ofparticular note is corporate reputation which as a concept has been in theascendant over recent years and has almost eclipsed references to the corporateimage in the literature and in management parlance What is apparent is thattoo many practitioners and some scholars have tended to regard the emergenceof a new concept as a replacement to what has gone before rather thanconsidering each new concept for its potential in building on what preceded itand furthering therefore the general understanding of the creationmanagement and saliency of business identity

Tenth explanation for the fog the inappropriateness of the positivistic researchparadigm in the initial stage of theory generation vis-aAacute-vis identityUndue attention has been given to measuring the outcomes and benefits ofeffective business identity management Providing a firm foundation regardingthe nature andor driving forces of business identity will do much to lift the fogsurrounding the area In this regard the research paradigm of naturalism isperhaps more appropriate than positivism in explaining a phenomenon such ascorporate identity which has not previously been subjected to a great deal ofempirical research viz Van Mannen (1985) Case studies can also be usefulwith regard to theory building research in the field of corporate identity Oliver(1997) argued the importance of case study research albeit in relation tocorporate communication and stated that formal theories do develop from casestudies Oliver is supported in her view by others including Gill and Johnson(1991) and Yin (1984)

While some caution needs to be applied to the maxim found in VirgilrsquosAeneid ` ab uno disce omnesrsquorsquo (from one learn all) it would perhaps be equallyperverse to suggest the opposite that nothing is gained from the findings ofcase studies This is after all the modus operandi underpinning HarvardBusiness Schoolrsquos pedagogical approach

Deshpande (1983) notes that quantitative methods are more suitable fortheory testing than theory generation Vankatesh (1985 p 62) commented thatthe emphasis on empirical research data analysis and quantitative modellingoffers little potential for theory generation As such the author argues thatmarketing scholars should give a greater emphasis to qualitative and casestudy research

Eleventh explanation for the fog the paucity of empirical academic researchThree reasons are postulated by the writer as to why there has been a lack ofpublished empirical research

(1) Until recently the traditional lack of interest from all but a fewmanagement academics

(2) The difficulty in getting published in mainstream management journals

(3) The difficulty in undertaking research into corporate identity

Corporate identitybranding and

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269

Invariably business identity issues encompass issues that are of particularsensitivity and have fundamental importance to organisations and their seniormanagement Therefore researchers are likely to experience acute difficulty inresearching changes of business identity which probe into the quintessence ofan organisationrsquos existence and which can propel to the fore issues of greatsensitivity and political importance In addition new scholars are likely to havethe wherewithall to extrapolate data and disseminate their findings throughlearned journals

Although this traditionally has been the case it is difficult to say whetherthis is a cause or effect vis-aAacute -vis points (1) to (3) Perhaps all elements have madea contribution What is encouraging is that more scholars are embarking onresearch into this business identity and this is represented in the burgeoningnumber of candidates embarking upon doctoral research in corporate identitySignificant empirical research to date includes that by Balmer and Wilson(1998) relating to the BBC and a major UK high street bank Dutton andDukerichrsquos (1991) research on the New York port authority Elsbach andKramerrsquos (1996) research in US universities Gioia and Thomasrsquos (1996)investigation relating to universities and Van Rekomrsquos (1997) study focusing ona sector of the Dutch tourism industry

Twelfth explanation for the fog undue focus being accorded to the businessidentities of holding companiesparent organisationsThe literature reveals a bias towards the identities of holding or parentcompanies with insufficient attention being given to the identities ofsubsidiaries as well as to industrial identities alliances licensing arrangementsand to federal types of organisational structures An exception to the latter wasBalmerrsquos (1996) research which focused on BBC Scotland plusmn a subsidiary of theBBC The emphasis accorded to the identities of parent organisations hasperhaps resulted in a far too simplistic categorisation regarding therelationship between subsidiaries business units and the holding companyThis can be seen in Olinsrsquos (1978) highly influential tripartite categorisation ofbusiness identities which he calls monolithic endorsed and brandedAlthough this is a useful basic classification it disguises the fact that parent-subsidiary relationships are invariably more complicated as evinced byKammerer (1989) Furthermore insufficient attention is given to the industry-wide generic identities with the exception of Balmer and Wilkinson (1991) andWilkinson and Balmer (1996)

Upon reflection there are other identity types such as the identity ofalliances including the ` Starrsquorsquo ` One Worldrsquorsquo and ` Wingsrsquorsquo airline alliances theidentity of consortiums such as the European Airbus and the sharing of abrand name by several important companies Examples include the Hiltonbrand name which is shared by Hilton Hotel of the USA and Ladbrokes of theUK the Rolls-Royce brand licensed to car manufacturers VWBMW(Germany) by the UK aero-engines group Rolls-Royce the multiplicity ofidentities subsumed beneath the umbrella of the Virgin brand and the Co-op

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270

brand in the UK which serves as an umbrella brand for its labyrinthicorganisational structure The simplistic approach to organisational structureand strategy outlined above and the graphic design bias has in the authorrsquosopinion served to obfuscate business identityrsquos palpable affinity with corporatestrategy

Thirteenth explanation for the fog the emphasis assigned to Anglo-Saxonforms of business structuresFor the main the various literatures of business identity focus on Anglo-Saxonforms of business identity which is characterised by short termism and whereshareholders are accorded particular importance Little has appeared inEuropean journals with regard to non Anglo-Saxon forms of businessidentities As such it would appear that undue emphasis is accorded to verticalrather than to horizontal organisational structures

There is prima facie case to suggest that existing Anglo-Saxon theories ofbusiness identity are inappropriate to certain organisational structuresoperating in other countries due to cultural and economic reasons This canperhaps be most clearly seen in Japan and Korea The traditional Japanesekeiretsu structure which encompasses well known brand names such asMitsubishi Mitsui and Sumitomo differ from their Anglo-Saxon counterpartsin that they invariably include financial services companies that can providefinance to other members of the keiretsu Typically each keiretsu structurecontains

a commercial bank a trust bank and a life insurance company

each group contains a trading company which supports other membersof the group through the provision of such things as intelligence andproject management

there is cross-shareholdings of such groups which makes it difficult fora member of the group to be threatened with an aggressive take-over

in times of crisis members of the kieretsu group will provide supportfinancial or service to the beleaguered company and finally

there is a leading group of companies

The Korean chaebol structure is similar to the Japanese keiretsu structure withthe exception that first members of the founding family still in some instancesmanage the company and second the chaebol does not contain powerfulfinancial institutions or trading companies

What is clear from the above illustration is that Eastern businessrelationships are more complicated than those witnessed in many Anglo-Saxoncompanies that the visualbranding structure is invariably applied to a familyof more or less autonomous companies rather than to a single commercialconcern that the notion of internal communications takes on a particularlyimportant role vis-aAacute -vis communication between members of the kieretsuchaebol and that the external communication is more complicated This is

Corporate identitybranding and

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271

because each company of the group not only needs to support its own corporatecommunication efforts and reputation but also that of the group Here thegrouprsquos reputation will appear to act as a powerful control mechanismBalmerrsquos (1998) DEAR Model (Decisions are Evaluated Against theorganisationrsquosgrouprsquos Reputation) may be of use in this regard

It is important to recall that there are other forms of organisational structureoperating in the West other than Anglo-Saxon structures One approachprevalent in southern Europe and termed ` the Latin approachrsquorsquo is according toCova and Aubert-Gamet (1997) based on the view that marketing institutionsare less effective than proximate communities influencing peoplesrsquo behaviourCova coined the term ` societingrsquorsquo to encapsulate this approach A case in pointis the Rhine model of organisations which for obvious reasons is prevalent inthose nations bordering the Rhine Here there are flatter more community-focused structures

In Germany businesses are not dominated by big brand names In a 1989survey for Business Week Germany accounted for only 3 per cent of the worldrsquos1000 largest companies Germanyrsquos strength (and also that of Northern Italy)rests in its Mittelstand These are small to medium-sized family businesses InGermany the characteristics of such companies are

family owned

financiers or investors are not owners or controllers of the companies

the objective is long term survival and

stakeholdersrsquo groupings cannot so easily be broken down into internaland external stakeholders

Interestingly concern is shown to stakeholders of the future Table IV providesa summation of the Anglo-Saxon and the Rhine and Asian approaches

Fourteenth explanation of the fog weaknesses in early traditional marketingmodels of corporate identitycorporate image management and formationThe fourteenth weakness identified by the writer is the weaknesses in many ofthe more influential conceptual models of corporate imageidentityreputationformation (Abratt 1989 Dowling 1986 1993 and Kennedy 1977) It wouldappear that in some of these models the writers confuse corporate identity withcorporate image While the writer is critical of some of the models each of themmakes a valuable contribution to the debate on the area Certainly several ofthese models were at the cutting edge of the debate on the area at the time theywere published These four models will be examined in turn

Abrattrsquos model (1989)Abrattrsquos conceptual and prescriptive model has the objective of explaining thecorporate image management process and adopts an ` outside inrsquorsquo focus (animage reputation focus) rather than an inside out (an identity personalityfocus) Abrattrsquos model is most useful in that it attempts to integrate the

EuropeanJournal ofMarketing3534

272

problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

marketing

273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

EuropeanJournal ofMarketing3534

274

challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

marketing

275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

EuropeanJournal ofMarketing3534

276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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Abratt R (1989) ` A new approach to the corporate image management processrsquorsquo Journal of MarketingManagement Vol 5 No 1 pp 63-76

Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

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marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

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288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

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Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

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289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 11: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

EuropeanJournal ofMarketing3534

258

author of this article calls ` the personality deficitrsquorsquo) Over time it is the mix ofsubcultures (corporate professional national etc) present within theorganisation that fills this void and gives it a collective personality albeit apersonality of many different elements (cf Balmer and Wilson 1998)

As Gioia (1998) noted

Like individuals organisations can be viewed as subsuming a multiplicity of identities eachof which is appropriate for a given context or audience Actually at the organisation level thenotion of the multiple identities is perhaps the key (if subtle) point of difference betweenindividuals and organisations

He continued

Thus organisations can plausibly present a complicated multifaceted identity eachcomponent of which is relevant to specific domains or constituents without appearinghopelessly fragmented or ludicrously schizophrenic as an individual might

The notion of multiple identities will be further explored in the 15th reason forthe fog

Second reason for the fog the existence of different paradigmatic viewsvis-aAacute-vis business identityrsquos raison drsquoeAtildetreThere are three distinct perspectives on how the business identity conceptshould be defined and explored The three perspectives are functionalistinterpretative and post-modern Gioia (1998) expounded the nature of thedebate taking place in each of these philosophical schools with regard toorganisational identity Here the modus vivendi is to uncover why and howemployees think and act in relation to their employerorganisation Theseparadigms also inform thought within other fields of business identity and ofcourse management studies generally

The functionalist lens regards business identity as a social fact Consequentlya business identity can be observed moulded and managed The key researchissues centre on uncovering describing and measuring a business identityObservation and psychometric instruments are the preferred research tools

The second paradigm embracing the interpretative perspective has as itsmain focus the understanding of how employees construct meaningsregarding who they are within an organisational environment Businessidentity is viewed as a socially constructed phenomenon with employeesseeking to give some level of meaning to their work existence The researchfocus is to uncover the meanings employees attach to their organisation Thestudy of organisational symbols underlines the methodical approach of thisparadigm

The final component of the troika of perspectives the post-modernparadigm seeks to disclose power-relationships regarding business identityThe emphasis focuses on complexity rather than on simplicity Businessidentity is regarded as a collection of transcendatory perspectives about howorganisational members view themselves Provocation and reflexivity

Corporate identitybranding and

marketing

259

characterise the research process The main research tools are language anddiscourse While such schools may appear to be irreconcilable as Gioia (1998)observes they do give richness to the general understanding of the businessidentity concept as do other perspectives in this nascent area This is a keyleitmotif of this article and the author argues should characterise emerginguacuteuvre pertaining to business identity studies

Third reason for the fog multifarious disciplinary perspectives re business identityThe literatures pertaining to business identity and particularly to corporateidentity organisational identity and visual identification reveal a plethora ofperspectives with regard to first the scope of the various identity conceptsregarding various management disciplines and second the shiftingperspectives relating to the relationships between the three identity conceptsFigure 1 shows the various relationships that have been postulated in theliterature This illustrates the huge disparity between the nature and roAtildele ofidentity studies On closer examination it becomes apparent that some of thenarrower perspectives relate to what is more appropriately called visualidentity The final interdisciplinary approach represents the authorrsquos view thatbusiness identity studies will form the keystone of corporate marketingTaking up the metaphor of the silver lining outlined in the opening paragraphof this article it becomes apparent that while there has been a traditional lackof agreement on the nature and roAtildeles of identity Figure 1 does show that the(business) identity is an omnipresent concept across a whole spectrum ofmanagement and marketing areas

Fourth explanation for the fog a failure to make a distinction between theelements comprising a business identity and the elements to be considered inmanaging a business identityIt should be borne in mind that business identity in its various facets may beseen as concept philosophy and as a process Concept and philosophy will bediscussed in this section and the process will be examined under the fifthexplanation

The literature reveals a lack of consensus as to the elements which constitutea business identity (the business identity mix) as well as a failure to distinguishbetween the elements of the corporate identity management mix

The approach taken by Balmer and Soenen (1999) appears to be the first tomake a clear distinction between first the elements comprising a businessidentity and second the elements required of its management This businessidentity mix embraces a triumvirate of elements termed

(1) the soul (the subjective elements of business identity including thevalues held by personnel which find expression in the plethora ofsub-cultures and the mix of identity types present within organisations)

(2) the mind (the conscious decisions made by the organisation vis-aAacute -vis theespoused organisational ethos vision strategy and productperformance) and

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(3) the voice (this encompasses the multi-faceted way in whichorganisations communicate internally and externally to stakeholdergroups and networks and which is normally called ` total corporatecommunicationsrsquorsquo viz Balmer and Gray (1999)

Figure 1The evolvingrelationships betweencorporate identity andother conceptsdisciplines

Corporate identitybranding and

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261

An additional trio of elements melding with the above form what Balmer andSoenen call the business identity management mix

The additional elements of Balmer and Soenenrsquos identity management mixare environmental forces (the need to take cognisance of this) stakeholders (theneed to be aware of stakeholders) and reputations (encompassing thereputation of the holding company its subsidiaries and business units thecountry-of-origin and the organisationrsquos partners such as alliance partners)

Mention may be made of those other authors who have attempted toarticulate the elements of a business identity These include Birkigt and Stadler(1986) the Mitsubishi Model of Japan (nd) and those by Schmidt (1995) andSteidl and Emory (1997)

Birkigt and Stadlerrsquos (1986) identity mix which is assigned a good deal ofimportance in Van Rielrsquos text (1995) and in a good deal of the subsequentliterature consists of a quartet of elements

(1) personality

(2) behaviour

(3) communication and

(4) symbolism

It would appear that this mix articulates the elements by which a businessidentity is known The mix emphasises the communications effect(s) of anorganisationrsquos behaviour communication policies and visual symbolism Themix is useful in revealing some of the major channels by which a businessidentity may be known and represents a distinct shift away from acategorisation of corporate identity in purely visual terms However incomparison to other more recent approaches it is somewhat narrow in scope

The primary objective of the Mitsubishi mix (nd) is to reveal those elementsthat constitute a business identity As with Balmer and Soenenrsquos (1999) mixthis approach draws on a trio of elements It is clear that a certain lineage maybe inferred between the English and Japanese approaches The Mitsubishi mixis segmented into what is called the mind identity (what the organisation isstriving to achieve) the strategic identity (the type of strategy which will causethe mind identity to become a reality) and the behaviour identity (the range andtypes of behaviour undertaken by the organisation)

Schmidtrsquos (1995) mix originating from the London-based Anglo-Germanconsultancy Henrion Ludlow and Schmidt comprises a quintet of elements

(1) corporate culture

(2) corporate behaviour

(3) market condition and strategies

(4) product and services and

(5) communication and design

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this clearly suggests it is a mix focusing on the management of businessidentity As such the mix takes cognisance of how an identity is revealed(through communications and design) but also assigns importance to marketconditions

Steidl and Emory (1997) have produced what is clearly a business identityrather than a business identity management mix As with Balmer and Soenen itwould appear that these two writers have been in part influenced by SinoNippon approaches to business identity and this is reflected in their choice ofterminology This Australian model is built around another trio of elementsthe mind (the philosophy and strategy through which the organisation securesthe support of customers) the spirit (the values of the organisation and theresponse this evokes amongst key stakeholder groups) and the body (the totalphysical infrastructure which is required to operate the business) Of note hereis the emphasis accorded to ` the bodyrsquorsquo which is not encompassed by the othermodels Rather surprisingly ` the bodyrsquorsquo does not encompass organisationalstructure Thus the author is of the view that a broader interpretationencompassing company structure would appear to be appropriate Theimportance of structure is similarly noted by Balmer and Gray (1999) Ind(1996) Morison (1997) and Stuart (1998a 1999b) The authorrsquos new identitymixes taking cognisance of the above comprises four elements and this isillustrated in Figure 2

Unlike the approaches used by Balmer and Soenen Schmidt and Steidl andEmory it has been decided to break with (at least from a British NorthAmerican and Commonwealth perspective) the practitioner legacy which usesthe human metaphor The four elements comprising this new mix are strategystructure communication and culture

The need to make a distinction between the variables comprising a businessidentity and the task elements to be considered with regard to the managementof a business identity mix is deserving of more attention by both scholars andpractitioners than has been the case to date

The implications of the authorrsquos new mix and those of many of other mixesis that researching a business identity involves using Gioiarsquos (1998 p 26)classification plusmn marrying the interpretive lens (with regard to understandingpersonnelrsquos various affinities to different identities) with the functionalist lens(with regard to the above parts of the mix) Consequently what is required is afurther breaking down of boundaries between research paradigms Thisprocess has implications not only for identity scholarship but also for identityconsultancy and management

Fifth explanation for the fog disagreement with regard to the objectives ofbusiness identity managementThe literature reveals a wide variety of purposes and objectives associated withbusiness identity management Balmerrsquos (1995) initial literature review

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263

revealed that corporate identity change programmes were variously used as avehicle to assist in

strategy formulation

culture-change

effective corporate communication

articulating a corporate strategy

articulatingchanging the organisationrsquos culture

acting as a platform for corporate communications and

ensuring that the organisationrsquos visual identity is fashionable

This is indicative of the multidisciplinary nature of the domain with the type ofidentity change reflecting the aspects of the organisationrsquos identity that requireattention

Significantly the effective management of a business identity has beenregarded as imbuing an organisation with a favourable image (cf Abratt 1989

Figure 2Balmerrsquos new identity

mix and identitymanagement mix

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Balmer 1995 Birkigt and Stadler 1986 Dowling 1994 Steidl and Emory 1997Tyrrell 1995 Van Rekom 1997) and more recently the acquisition of afavourable corporate reputation coupled with business survival andprofitability (Balmer and Stotvig 1997 Van Riel and Balmer 1997 Gray andBalmer 1998) The objective of acquiring a favourable corporate image hasfallen out of favour since the concept of the corporate image is fraught withdifficulty (Balmer 1998) The acquisition of a corporate brand on the otherhand has been identified as an objective of corporate identity management(Balmer 1999a) The ICIG statement reproduced in Appendix 1 cites a numberof possible objectives in relation to corporate identity management namely

fostering a sense of individuality

achieving differentiation in a competitive environment

providing disciplinary integration

providing a platform for coherent corporate communication

nurturing an image that is consistent with the organisationrsquos definingethos and character

nurturing understanding and commitment among stakeholders

attracting and retaining customers and employees

achieving strategic alliances and

gaining support of financial markets

Sixth explanation of the fog a traditional lack of dialogue between Anglophoneand non-Anglophone scholars and writersIn addition to the lack of dialogue between scholars from different disciplines anotable feature of the literature on business identity is how linguistic andcultural barriers have exerted an influence in the general understanding of thearea The most dramatic divide is between Anglophone and non-Anglophonenations For instance the literature on business identity emerging frommainland Europe appears to have developed quite independently from theNorth American literature and also from that of the UK and the old (British)Commonwealth and vice versa An example of this is the French school ofthought on corporate identity (Moingeon and Ramanantsoa 1997) TheNetherlands appears to be the exception to the rule owing to the linguisticdexterity of the peoples of that kingdom This can be seen in Van Rielrsquos (1995)influential text Principles of Corporate Communication which contains averitable cornucopia of international sources

Further afield questions of language have hindered our understanding ofSino and Japanese approaches to the area The current understanding ofbusiness identity in `Westernrsquorsquo nations might need to undertake a furtherradical reappraisal in order to accommodate what appear to be substantivedifferences of approach between ` Westernrsquorsquo and ` Asianrsquorsquo scholars of businessidentity Reference has already been made to the Mitsubishi mix According to

Corporate identitybranding and

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265

Steidl and Emory (1997 pp 4-5) the Japanese approach to business identityadopts a radically different manner from that found in other nations They referto Motoo Nakanishi the chairman of one of Japanrsquos foremost businessconsultancies who states that Japanese business identity change programmesare characterised by their longevity in planning and implementation and thatthey are also dependent upon the CEO championing such a change In contrastNakanishi comments that US identity change programmes reflect the characterof the CEO to a greater extent than Asian approaches are similar to Japaneseprogrammes in their reliance on the CEO for their success are more project-orientated and are short-term in scope For their part Johansson and Hirano(1999) point out that in Asia there is a higher degree of parallelism betweenindividual and corporate objectives than in the West cf Balmer and Wilson(1998)

Seventh explanation for the fog the traditional lack of dialogue betweenresearchers from different disciplinesThe business identity literatures encompass distinctive and not so distinctiveschools of thought business communications and corporate communications(Cheney and Christensen 1999 Van Riel 1995) graphic design (Olins 1995Schmidt 1995) image and image-research (Brown 1998 Barich and Kotler1991 Worcester 19861997) marketing (Abratt 1989) organisationalbehaviour (Albert and Whetten 1985 Mael and Ashforth 1992) publicrelations (Grunig 1993) psychology (Bromley 1993) reputation (Fombrun1996) and strategy (Gray and Smeltzer 1985 Marwick and Fill 1997 Morison1997) A multi-disciplinary approach is adopted by Balmer (1995 1998) with astrong marketingcommunications emphasis

Despite the wealth of disciplines the degree of cross fertilisation of ideas andinsights from these literatures is comparatively slight It would appear thatbusiness identity issues have to a large degree matured along narrow verticaland disciplinary paradigms There has been little in the way of multi-disciplinary holistic development This may be placed in the context of thevarious business identity mixes articulated by Balmer and Soenen (1997)Birkigt and Stadler (1986) Schmidt (1995) and Steidl and Emory (1997) thatclearly demand that a broad multi-disciplinary approach be adopted

Mention may also be made of Whetten and Godfreyrsquos (1998) book Identity inOrganisations where academics from a number of disciplines discuss variousfacets of the business identity world However there is a paucity of materialemanating from British Commonwealth and European sources in this text andfor the main little from the marketing literature is marshalled This may becontrasted with the recent marketing literature where organisationalbehaviourists for instance have made a significant contribution

Eighth explanation for the fog the association with graphic designThe importance accorded to graphic design in the business identity literaturehas exacerbated the confusion surrounding the area and may in retrospect be

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seen to have exerted a deleterious influence regarding the conceptualisation ofidentity In the past this has led to the business identity domain being narrowlyconceived Some writers with backgrounds in marketing and communicationhave accorded symbolism the same importance as other business identityelements such as behaviour and communication viz Birkigt and Stadler (1986)The emphasis accorded to graphic design in business identity studies has beenperpetuated by many so-called corporate identity consultancies who are to allintents and purposes graphic design consultancies Research undertaken byMORI revealed that significant numbers of managers in UK and Europe stillequate UK-based corporate identity with graphic design (cf Schmidt 1995)Such has been the influence of graphic design that it has almost becomeaxiomatic that any change of business identity will have an attendant changeof visual identity The author has not to date discovered a case where acorporate identity consultancy advising a client during a business identitychange programme has not as a minimum tweaked the corporate logo This isa curious state of affairs and again raises some profound questions Wolff Olins(Europersquos largest corporate identity consultancy) in their ` Guide to corporateidentityrsquorsquo produced for the UK weekly magazine Marketing (1990 pp 19-24)made this very point

Because of corporate identityrsquos roots in design it will probably entail a new or revised logodesign

With the passing of ten years little appears to have altered For instance themajority of personnel employed by corporate identity consultancies tend tohave a background in graphic design The author is of the view that thegraphic design emphasis ascribed to business identity has thrown the area outof kilter This has had the unfortunate effect of stifling a broader moresophisticated and scholarly appreciation of business identity The distinctcorporate identity and organisational identity literatures although somewhatparvenu in relation to the visual identity literature have without doubt made aprofound contribution to the general understanding of business identity overrecent years What is required is for a more balanced appraisal to take place vis-aAacute -vis the power of visual identity and of graphic design in what is starting to beknown as the corporate identity mixbusiness identity mix What is not refutedby the author is that visual identification does unquestionably have powerVan Riel (1995) pointed out the wide impact of visual communication when hewrote that the average lorry is capable of delivering 7-9 million visualimpressions per year or about 60 per kilometre Empirical work undertaken byMelewar and Saunders (1998) revealed the benefit of standardised globalcorporate visual identity systems Furthermore the use of what is known as` the visual auditrsquorsquo (an examination of the organisationrsquos symbolism and brandstructure) has been shown to be a most effective initial means ofcomprehending an organisationrsquos cultures power-base strategies andcommunication As such the visual audit may provide useful insights into anorganisationrsquos identity

Corporate identitybranding and

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267

However whereas a visual audit may reveal symptoms of inherent corporatemalaise many organisations fall into the trap of resorting to the initiation of anew visual identity as a means of correcting what can be profoundorganisational difficulties This may suggest a degree of naivety on the part ofsome senior managers and consultancies in failing to differentiate between thecauses and the symptoms (visual-identity) of a weak inconsistent negative orunwanted business identity As a result of this approach a number of authorstend to define corporate identity in prosaic terms namely ` what anorganisation isrsquorsquo While inadequate as a definition it does help to distance thearea from the narrow graphic design perspective

The emphasis on the visual has had another unfortunate effect in cloudingover the importance of the other senses of sound scent taste and touch Itwould be perverse to suggest that visually impaired customers employees orinvestors are unable to recognise differentiate between or form opinions oforganisations Upon reflection it becomes apparent that the non-visual sensescan be just as powerful in communicating the identity of a collective group Forexample the aural sense has a dominant role in the recognition of the identitiesof radio stations The aural sense also helps to differentiate one nation statefrom another via the use of languages and national anthems Important lessonscan in this regard be learned from ancient institutions such as the CatholicChurch which marshals all the senses to forge an impressive panoply ofsignals to support the Catholic Churchrsquos tenets and beliefs Although theCatholic Church has in recent years offered a somewhat flaccid version of itsidentity it is still possible to experience the effect of marshalling of all thesenses in an experience which is unique to the Catholic faith Thus at atraditional solemn celebration of the liturgy at Londonrsquos Brompton Oratorythe churchrsquos distinctiveness is communicated through among otherssymbolism (vestments church furnishings architecture posture of clergy andlaity) sound (Latin Gregorian chant and polyphony) smell (incense) touch(holy water) and taste (taking the sacrament)

Ninth explanation for the fog the effect of fashionVagaries in fashion in the use of concepts have played their part in thickeningthe fog surrounding the area A would-be scholar of business identity studieshas to show a good deal of perspicacity not only in accommodating the richvariety of concepts in use but also in exerting acute vigilance in theirassessment of what he or she understands by the concept The effects offashion can clearly be seen in the 1950s and 1960s when much attention wasfocused on the concept of the ` corporate imagersquorsquo Yet in the 1970s ` corporateidentityrsquorsquo grew in popularity and to some degree was used in preference to` corporate imagersquorsquo The corporate identityconcept was not only used as asurrogate for ` image managementrsquorsquo but has been viewed by some authors suchas Dowling (1994) as being fundamentally concerned with visual identityOthers saw the concept as embracing the distinct characteristics of anorganisation (Van Riel and Balmer 1997) In recent years reference to the

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` corporate brandrsquorsquo or what is sometimes termed ` service brandingrsquorsquo (cf Balmer1995 De Chernatony 1999) has replaced reference to ` corporate identityrsquorsquo Ofparticular note is corporate reputation which as a concept has been in theascendant over recent years and has almost eclipsed references to the corporateimage in the literature and in management parlance What is apparent is thattoo many practitioners and some scholars have tended to regard the emergenceof a new concept as a replacement to what has gone before rather thanconsidering each new concept for its potential in building on what preceded itand furthering therefore the general understanding of the creationmanagement and saliency of business identity

Tenth explanation for the fog the inappropriateness of the positivistic researchparadigm in the initial stage of theory generation vis-aAacute-vis identityUndue attention has been given to measuring the outcomes and benefits ofeffective business identity management Providing a firm foundation regardingthe nature andor driving forces of business identity will do much to lift the fogsurrounding the area In this regard the research paradigm of naturalism isperhaps more appropriate than positivism in explaining a phenomenon such ascorporate identity which has not previously been subjected to a great deal ofempirical research viz Van Mannen (1985) Case studies can also be usefulwith regard to theory building research in the field of corporate identity Oliver(1997) argued the importance of case study research albeit in relation tocorporate communication and stated that formal theories do develop from casestudies Oliver is supported in her view by others including Gill and Johnson(1991) and Yin (1984)

While some caution needs to be applied to the maxim found in VirgilrsquosAeneid ` ab uno disce omnesrsquorsquo (from one learn all) it would perhaps be equallyperverse to suggest the opposite that nothing is gained from the findings ofcase studies This is after all the modus operandi underpinning HarvardBusiness Schoolrsquos pedagogical approach

Deshpande (1983) notes that quantitative methods are more suitable fortheory testing than theory generation Vankatesh (1985 p 62) commented thatthe emphasis on empirical research data analysis and quantitative modellingoffers little potential for theory generation As such the author argues thatmarketing scholars should give a greater emphasis to qualitative and casestudy research

Eleventh explanation for the fog the paucity of empirical academic researchThree reasons are postulated by the writer as to why there has been a lack ofpublished empirical research

(1) Until recently the traditional lack of interest from all but a fewmanagement academics

(2) The difficulty in getting published in mainstream management journals

(3) The difficulty in undertaking research into corporate identity

Corporate identitybranding and

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269

Invariably business identity issues encompass issues that are of particularsensitivity and have fundamental importance to organisations and their seniormanagement Therefore researchers are likely to experience acute difficulty inresearching changes of business identity which probe into the quintessence ofan organisationrsquos existence and which can propel to the fore issues of greatsensitivity and political importance In addition new scholars are likely to havethe wherewithall to extrapolate data and disseminate their findings throughlearned journals

Although this traditionally has been the case it is difficult to say whetherthis is a cause or effect vis-aAacute -vis points (1) to (3) Perhaps all elements have madea contribution What is encouraging is that more scholars are embarking onresearch into this business identity and this is represented in the burgeoningnumber of candidates embarking upon doctoral research in corporate identitySignificant empirical research to date includes that by Balmer and Wilson(1998) relating to the BBC and a major UK high street bank Dutton andDukerichrsquos (1991) research on the New York port authority Elsbach andKramerrsquos (1996) research in US universities Gioia and Thomasrsquos (1996)investigation relating to universities and Van Rekomrsquos (1997) study focusing ona sector of the Dutch tourism industry

Twelfth explanation for the fog undue focus being accorded to the businessidentities of holding companiesparent organisationsThe literature reveals a bias towards the identities of holding or parentcompanies with insufficient attention being given to the identities ofsubsidiaries as well as to industrial identities alliances licensing arrangementsand to federal types of organisational structures An exception to the latter wasBalmerrsquos (1996) research which focused on BBC Scotland plusmn a subsidiary of theBBC The emphasis accorded to the identities of parent organisations hasperhaps resulted in a far too simplistic categorisation regarding therelationship between subsidiaries business units and the holding companyThis can be seen in Olinsrsquos (1978) highly influential tripartite categorisation ofbusiness identities which he calls monolithic endorsed and brandedAlthough this is a useful basic classification it disguises the fact that parent-subsidiary relationships are invariably more complicated as evinced byKammerer (1989) Furthermore insufficient attention is given to the industry-wide generic identities with the exception of Balmer and Wilkinson (1991) andWilkinson and Balmer (1996)

Upon reflection there are other identity types such as the identity ofalliances including the ` Starrsquorsquo ` One Worldrsquorsquo and ` Wingsrsquorsquo airline alliances theidentity of consortiums such as the European Airbus and the sharing of abrand name by several important companies Examples include the Hiltonbrand name which is shared by Hilton Hotel of the USA and Ladbrokes of theUK the Rolls-Royce brand licensed to car manufacturers VWBMW(Germany) by the UK aero-engines group Rolls-Royce the multiplicity ofidentities subsumed beneath the umbrella of the Virgin brand and the Co-op

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brand in the UK which serves as an umbrella brand for its labyrinthicorganisational structure The simplistic approach to organisational structureand strategy outlined above and the graphic design bias has in the authorrsquosopinion served to obfuscate business identityrsquos palpable affinity with corporatestrategy

Thirteenth explanation for the fog the emphasis assigned to Anglo-Saxonforms of business structuresFor the main the various literatures of business identity focus on Anglo-Saxonforms of business identity which is characterised by short termism and whereshareholders are accorded particular importance Little has appeared inEuropean journals with regard to non Anglo-Saxon forms of businessidentities As such it would appear that undue emphasis is accorded to verticalrather than to horizontal organisational structures

There is prima facie case to suggest that existing Anglo-Saxon theories ofbusiness identity are inappropriate to certain organisational structuresoperating in other countries due to cultural and economic reasons This canperhaps be most clearly seen in Japan and Korea The traditional Japanesekeiretsu structure which encompasses well known brand names such asMitsubishi Mitsui and Sumitomo differ from their Anglo-Saxon counterpartsin that they invariably include financial services companies that can providefinance to other members of the keiretsu Typically each keiretsu structurecontains

a commercial bank a trust bank and a life insurance company

each group contains a trading company which supports other membersof the group through the provision of such things as intelligence andproject management

there is cross-shareholdings of such groups which makes it difficult fora member of the group to be threatened with an aggressive take-over

in times of crisis members of the kieretsu group will provide supportfinancial or service to the beleaguered company and finally

there is a leading group of companies

The Korean chaebol structure is similar to the Japanese keiretsu structure withthe exception that first members of the founding family still in some instancesmanage the company and second the chaebol does not contain powerfulfinancial institutions or trading companies

What is clear from the above illustration is that Eastern businessrelationships are more complicated than those witnessed in many Anglo-Saxoncompanies that the visualbranding structure is invariably applied to a familyof more or less autonomous companies rather than to a single commercialconcern that the notion of internal communications takes on a particularlyimportant role vis-aAacute -vis communication between members of the kieretsuchaebol and that the external communication is more complicated This is

Corporate identitybranding and

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271

because each company of the group not only needs to support its own corporatecommunication efforts and reputation but also that of the group Here thegrouprsquos reputation will appear to act as a powerful control mechanismBalmerrsquos (1998) DEAR Model (Decisions are Evaluated Against theorganisationrsquosgrouprsquos Reputation) may be of use in this regard

It is important to recall that there are other forms of organisational structureoperating in the West other than Anglo-Saxon structures One approachprevalent in southern Europe and termed ` the Latin approachrsquorsquo is according toCova and Aubert-Gamet (1997) based on the view that marketing institutionsare less effective than proximate communities influencing peoplesrsquo behaviourCova coined the term ` societingrsquorsquo to encapsulate this approach A case in pointis the Rhine model of organisations which for obvious reasons is prevalent inthose nations bordering the Rhine Here there are flatter more community-focused structures

In Germany businesses are not dominated by big brand names In a 1989survey for Business Week Germany accounted for only 3 per cent of the worldrsquos1000 largest companies Germanyrsquos strength (and also that of Northern Italy)rests in its Mittelstand These are small to medium-sized family businesses InGermany the characteristics of such companies are

family owned

financiers or investors are not owners or controllers of the companies

the objective is long term survival and

stakeholdersrsquo groupings cannot so easily be broken down into internaland external stakeholders

Interestingly concern is shown to stakeholders of the future Table IV providesa summation of the Anglo-Saxon and the Rhine and Asian approaches

Fourteenth explanation of the fog weaknesses in early traditional marketingmodels of corporate identitycorporate image management and formationThe fourteenth weakness identified by the writer is the weaknesses in many ofthe more influential conceptual models of corporate imageidentityreputationformation (Abratt 1989 Dowling 1986 1993 and Kennedy 1977) It wouldappear that in some of these models the writers confuse corporate identity withcorporate image While the writer is critical of some of the models each of themmakes a valuable contribution to the debate on the area Certainly several ofthese models were at the cutting edge of the debate on the area at the time theywere published These four models will be examined in turn

Abrattrsquos model (1989)Abrattrsquos conceptual and prescriptive model has the objective of explaining thecorporate image management process and adopts an ` outside inrsquorsquo focus (animage reputation focus) rather than an inside out (an identity personalityfocus) Abrattrsquos model is most useful in that it attempts to integrate the

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problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

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273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

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challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

marketing

275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

EuropeanJournal ofMarketing3534

276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

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sor

gan

isat

ional

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rns

Splusmn

How

the

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EN

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ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

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nd

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theo

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erce

pti

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osit

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gP

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Incl

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are

curr

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cepti

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age)

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isat

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know

ledge

bel

iefs

and

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wor

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ional

bou

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Note

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lls

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two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

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Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

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marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

EuropeanJournal ofMarketing3534

288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 12: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

Corporate identitybranding and

marketing

259

characterise the research process The main research tools are language anddiscourse While such schools may appear to be irreconcilable as Gioia (1998)observes they do give richness to the general understanding of the businessidentity concept as do other perspectives in this nascent area This is a keyleitmotif of this article and the author argues should characterise emerginguacuteuvre pertaining to business identity studies

Third reason for the fog multifarious disciplinary perspectives re business identityThe literatures pertaining to business identity and particularly to corporateidentity organisational identity and visual identification reveal a plethora ofperspectives with regard to first the scope of the various identity conceptsregarding various management disciplines and second the shiftingperspectives relating to the relationships between the three identity conceptsFigure 1 shows the various relationships that have been postulated in theliterature This illustrates the huge disparity between the nature and roAtildele ofidentity studies On closer examination it becomes apparent that some of thenarrower perspectives relate to what is more appropriately called visualidentity The final interdisciplinary approach represents the authorrsquos view thatbusiness identity studies will form the keystone of corporate marketingTaking up the metaphor of the silver lining outlined in the opening paragraphof this article it becomes apparent that while there has been a traditional lackof agreement on the nature and roAtildeles of identity Figure 1 does show that the(business) identity is an omnipresent concept across a whole spectrum ofmanagement and marketing areas

Fourth explanation for the fog a failure to make a distinction between theelements comprising a business identity and the elements to be considered inmanaging a business identityIt should be borne in mind that business identity in its various facets may beseen as concept philosophy and as a process Concept and philosophy will bediscussed in this section and the process will be examined under the fifthexplanation

The literature reveals a lack of consensus as to the elements which constitutea business identity (the business identity mix) as well as a failure to distinguishbetween the elements of the corporate identity management mix

The approach taken by Balmer and Soenen (1999) appears to be the first tomake a clear distinction between first the elements comprising a businessidentity and second the elements required of its management This businessidentity mix embraces a triumvirate of elements termed

(1) the soul (the subjective elements of business identity including thevalues held by personnel which find expression in the plethora ofsub-cultures and the mix of identity types present within organisations)

(2) the mind (the conscious decisions made by the organisation vis-aAacute -vis theespoused organisational ethos vision strategy and productperformance) and

EuropeanJournal ofMarketing3534

260

(3) the voice (this encompasses the multi-faceted way in whichorganisations communicate internally and externally to stakeholdergroups and networks and which is normally called ` total corporatecommunicationsrsquorsquo viz Balmer and Gray (1999)

Figure 1The evolvingrelationships betweencorporate identity andother conceptsdisciplines

Corporate identitybranding and

marketing

261

An additional trio of elements melding with the above form what Balmer andSoenen call the business identity management mix

The additional elements of Balmer and Soenenrsquos identity management mixare environmental forces (the need to take cognisance of this) stakeholders (theneed to be aware of stakeholders) and reputations (encompassing thereputation of the holding company its subsidiaries and business units thecountry-of-origin and the organisationrsquos partners such as alliance partners)

Mention may be made of those other authors who have attempted toarticulate the elements of a business identity These include Birkigt and Stadler(1986) the Mitsubishi Model of Japan (nd) and those by Schmidt (1995) andSteidl and Emory (1997)

Birkigt and Stadlerrsquos (1986) identity mix which is assigned a good deal ofimportance in Van Rielrsquos text (1995) and in a good deal of the subsequentliterature consists of a quartet of elements

(1) personality

(2) behaviour

(3) communication and

(4) symbolism

It would appear that this mix articulates the elements by which a businessidentity is known The mix emphasises the communications effect(s) of anorganisationrsquos behaviour communication policies and visual symbolism Themix is useful in revealing some of the major channels by which a businessidentity may be known and represents a distinct shift away from acategorisation of corporate identity in purely visual terms However incomparison to other more recent approaches it is somewhat narrow in scope

The primary objective of the Mitsubishi mix (nd) is to reveal those elementsthat constitute a business identity As with Balmer and Soenenrsquos (1999) mixthis approach draws on a trio of elements It is clear that a certain lineage maybe inferred between the English and Japanese approaches The Mitsubishi mixis segmented into what is called the mind identity (what the organisation isstriving to achieve) the strategic identity (the type of strategy which will causethe mind identity to become a reality) and the behaviour identity (the range andtypes of behaviour undertaken by the organisation)

Schmidtrsquos (1995) mix originating from the London-based Anglo-Germanconsultancy Henrion Ludlow and Schmidt comprises a quintet of elements

(1) corporate culture

(2) corporate behaviour

(3) market condition and strategies

(4) product and services and

(5) communication and design

EuropeanJournal ofMarketing3534

262

this clearly suggests it is a mix focusing on the management of businessidentity As such the mix takes cognisance of how an identity is revealed(through communications and design) but also assigns importance to marketconditions

Steidl and Emory (1997) have produced what is clearly a business identityrather than a business identity management mix As with Balmer and Soenen itwould appear that these two writers have been in part influenced by SinoNippon approaches to business identity and this is reflected in their choice ofterminology This Australian model is built around another trio of elementsthe mind (the philosophy and strategy through which the organisation securesthe support of customers) the spirit (the values of the organisation and theresponse this evokes amongst key stakeholder groups) and the body (the totalphysical infrastructure which is required to operate the business) Of note hereis the emphasis accorded to ` the bodyrsquorsquo which is not encompassed by the othermodels Rather surprisingly ` the bodyrsquorsquo does not encompass organisationalstructure Thus the author is of the view that a broader interpretationencompassing company structure would appear to be appropriate Theimportance of structure is similarly noted by Balmer and Gray (1999) Ind(1996) Morison (1997) and Stuart (1998a 1999b) The authorrsquos new identitymixes taking cognisance of the above comprises four elements and this isillustrated in Figure 2

Unlike the approaches used by Balmer and Soenen Schmidt and Steidl andEmory it has been decided to break with (at least from a British NorthAmerican and Commonwealth perspective) the practitioner legacy which usesthe human metaphor The four elements comprising this new mix are strategystructure communication and culture

The need to make a distinction between the variables comprising a businessidentity and the task elements to be considered with regard to the managementof a business identity mix is deserving of more attention by both scholars andpractitioners than has been the case to date

The implications of the authorrsquos new mix and those of many of other mixesis that researching a business identity involves using Gioiarsquos (1998 p 26)classification plusmn marrying the interpretive lens (with regard to understandingpersonnelrsquos various affinities to different identities) with the functionalist lens(with regard to the above parts of the mix) Consequently what is required is afurther breaking down of boundaries between research paradigms Thisprocess has implications not only for identity scholarship but also for identityconsultancy and management

Fifth explanation for the fog disagreement with regard to the objectives ofbusiness identity managementThe literature reveals a wide variety of purposes and objectives associated withbusiness identity management Balmerrsquos (1995) initial literature review

Corporate identitybranding and

marketing

263

revealed that corporate identity change programmes were variously used as avehicle to assist in

strategy formulation

culture-change

effective corporate communication

articulating a corporate strategy

articulatingchanging the organisationrsquos culture

acting as a platform for corporate communications and

ensuring that the organisationrsquos visual identity is fashionable

This is indicative of the multidisciplinary nature of the domain with the type ofidentity change reflecting the aspects of the organisationrsquos identity that requireattention

Significantly the effective management of a business identity has beenregarded as imbuing an organisation with a favourable image (cf Abratt 1989

Figure 2Balmerrsquos new identity

mix and identitymanagement mix

EuropeanJournal ofMarketing3534

264

Balmer 1995 Birkigt and Stadler 1986 Dowling 1994 Steidl and Emory 1997Tyrrell 1995 Van Rekom 1997) and more recently the acquisition of afavourable corporate reputation coupled with business survival andprofitability (Balmer and Stotvig 1997 Van Riel and Balmer 1997 Gray andBalmer 1998) The objective of acquiring a favourable corporate image hasfallen out of favour since the concept of the corporate image is fraught withdifficulty (Balmer 1998) The acquisition of a corporate brand on the otherhand has been identified as an objective of corporate identity management(Balmer 1999a) The ICIG statement reproduced in Appendix 1 cites a numberof possible objectives in relation to corporate identity management namely

fostering a sense of individuality

achieving differentiation in a competitive environment

providing disciplinary integration

providing a platform for coherent corporate communication

nurturing an image that is consistent with the organisationrsquos definingethos and character

nurturing understanding and commitment among stakeholders

attracting and retaining customers and employees

achieving strategic alliances and

gaining support of financial markets

Sixth explanation of the fog a traditional lack of dialogue between Anglophoneand non-Anglophone scholars and writersIn addition to the lack of dialogue between scholars from different disciplines anotable feature of the literature on business identity is how linguistic andcultural barriers have exerted an influence in the general understanding of thearea The most dramatic divide is between Anglophone and non-Anglophonenations For instance the literature on business identity emerging frommainland Europe appears to have developed quite independently from theNorth American literature and also from that of the UK and the old (British)Commonwealth and vice versa An example of this is the French school ofthought on corporate identity (Moingeon and Ramanantsoa 1997) TheNetherlands appears to be the exception to the rule owing to the linguisticdexterity of the peoples of that kingdom This can be seen in Van Rielrsquos (1995)influential text Principles of Corporate Communication which contains averitable cornucopia of international sources

Further afield questions of language have hindered our understanding ofSino and Japanese approaches to the area The current understanding ofbusiness identity in `Westernrsquorsquo nations might need to undertake a furtherradical reappraisal in order to accommodate what appear to be substantivedifferences of approach between ` Westernrsquorsquo and ` Asianrsquorsquo scholars of businessidentity Reference has already been made to the Mitsubishi mix According to

Corporate identitybranding and

marketing

265

Steidl and Emory (1997 pp 4-5) the Japanese approach to business identityadopts a radically different manner from that found in other nations They referto Motoo Nakanishi the chairman of one of Japanrsquos foremost businessconsultancies who states that Japanese business identity change programmesare characterised by their longevity in planning and implementation and thatthey are also dependent upon the CEO championing such a change In contrastNakanishi comments that US identity change programmes reflect the characterof the CEO to a greater extent than Asian approaches are similar to Japaneseprogrammes in their reliance on the CEO for their success are more project-orientated and are short-term in scope For their part Johansson and Hirano(1999) point out that in Asia there is a higher degree of parallelism betweenindividual and corporate objectives than in the West cf Balmer and Wilson(1998)

Seventh explanation for the fog the traditional lack of dialogue betweenresearchers from different disciplinesThe business identity literatures encompass distinctive and not so distinctiveschools of thought business communications and corporate communications(Cheney and Christensen 1999 Van Riel 1995) graphic design (Olins 1995Schmidt 1995) image and image-research (Brown 1998 Barich and Kotler1991 Worcester 19861997) marketing (Abratt 1989) organisationalbehaviour (Albert and Whetten 1985 Mael and Ashforth 1992) publicrelations (Grunig 1993) psychology (Bromley 1993) reputation (Fombrun1996) and strategy (Gray and Smeltzer 1985 Marwick and Fill 1997 Morison1997) A multi-disciplinary approach is adopted by Balmer (1995 1998) with astrong marketingcommunications emphasis

Despite the wealth of disciplines the degree of cross fertilisation of ideas andinsights from these literatures is comparatively slight It would appear thatbusiness identity issues have to a large degree matured along narrow verticaland disciplinary paradigms There has been little in the way of multi-disciplinary holistic development This may be placed in the context of thevarious business identity mixes articulated by Balmer and Soenen (1997)Birkigt and Stadler (1986) Schmidt (1995) and Steidl and Emory (1997) thatclearly demand that a broad multi-disciplinary approach be adopted

Mention may also be made of Whetten and Godfreyrsquos (1998) book Identity inOrganisations where academics from a number of disciplines discuss variousfacets of the business identity world However there is a paucity of materialemanating from British Commonwealth and European sources in this text andfor the main little from the marketing literature is marshalled This may becontrasted with the recent marketing literature where organisationalbehaviourists for instance have made a significant contribution

Eighth explanation for the fog the association with graphic designThe importance accorded to graphic design in the business identity literaturehas exacerbated the confusion surrounding the area and may in retrospect be

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seen to have exerted a deleterious influence regarding the conceptualisation ofidentity In the past this has led to the business identity domain being narrowlyconceived Some writers with backgrounds in marketing and communicationhave accorded symbolism the same importance as other business identityelements such as behaviour and communication viz Birkigt and Stadler (1986)The emphasis accorded to graphic design in business identity studies has beenperpetuated by many so-called corporate identity consultancies who are to allintents and purposes graphic design consultancies Research undertaken byMORI revealed that significant numbers of managers in UK and Europe stillequate UK-based corporate identity with graphic design (cf Schmidt 1995)Such has been the influence of graphic design that it has almost becomeaxiomatic that any change of business identity will have an attendant changeof visual identity The author has not to date discovered a case where acorporate identity consultancy advising a client during a business identitychange programme has not as a minimum tweaked the corporate logo This isa curious state of affairs and again raises some profound questions Wolff Olins(Europersquos largest corporate identity consultancy) in their ` Guide to corporateidentityrsquorsquo produced for the UK weekly magazine Marketing (1990 pp 19-24)made this very point

Because of corporate identityrsquos roots in design it will probably entail a new or revised logodesign

With the passing of ten years little appears to have altered For instance themajority of personnel employed by corporate identity consultancies tend tohave a background in graphic design The author is of the view that thegraphic design emphasis ascribed to business identity has thrown the area outof kilter This has had the unfortunate effect of stifling a broader moresophisticated and scholarly appreciation of business identity The distinctcorporate identity and organisational identity literatures although somewhatparvenu in relation to the visual identity literature have without doubt made aprofound contribution to the general understanding of business identity overrecent years What is required is for a more balanced appraisal to take place vis-aAacute -vis the power of visual identity and of graphic design in what is starting to beknown as the corporate identity mixbusiness identity mix What is not refutedby the author is that visual identification does unquestionably have powerVan Riel (1995) pointed out the wide impact of visual communication when hewrote that the average lorry is capable of delivering 7-9 million visualimpressions per year or about 60 per kilometre Empirical work undertaken byMelewar and Saunders (1998) revealed the benefit of standardised globalcorporate visual identity systems Furthermore the use of what is known as` the visual auditrsquorsquo (an examination of the organisationrsquos symbolism and brandstructure) has been shown to be a most effective initial means ofcomprehending an organisationrsquos cultures power-base strategies andcommunication As such the visual audit may provide useful insights into anorganisationrsquos identity

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267

However whereas a visual audit may reveal symptoms of inherent corporatemalaise many organisations fall into the trap of resorting to the initiation of anew visual identity as a means of correcting what can be profoundorganisational difficulties This may suggest a degree of naivety on the part ofsome senior managers and consultancies in failing to differentiate between thecauses and the symptoms (visual-identity) of a weak inconsistent negative orunwanted business identity As a result of this approach a number of authorstend to define corporate identity in prosaic terms namely ` what anorganisation isrsquorsquo While inadequate as a definition it does help to distance thearea from the narrow graphic design perspective

The emphasis on the visual has had another unfortunate effect in cloudingover the importance of the other senses of sound scent taste and touch Itwould be perverse to suggest that visually impaired customers employees orinvestors are unable to recognise differentiate between or form opinions oforganisations Upon reflection it becomes apparent that the non-visual sensescan be just as powerful in communicating the identity of a collective group Forexample the aural sense has a dominant role in the recognition of the identitiesof radio stations The aural sense also helps to differentiate one nation statefrom another via the use of languages and national anthems Important lessonscan in this regard be learned from ancient institutions such as the CatholicChurch which marshals all the senses to forge an impressive panoply ofsignals to support the Catholic Churchrsquos tenets and beliefs Although theCatholic Church has in recent years offered a somewhat flaccid version of itsidentity it is still possible to experience the effect of marshalling of all thesenses in an experience which is unique to the Catholic faith Thus at atraditional solemn celebration of the liturgy at Londonrsquos Brompton Oratorythe churchrsquos distinctiveness is communicated through among otherssymbolism (vestments church furnishings architecture posture of clergy andlaity) sound (Latin Gregorian chant and polyphony) smell (incense) touch(holy water) and taste (taking the sacrament)

Ninth explanation for the fog the effect of fashionVagaries in fashion in the use of concepts have played their part in thickeningthe fog surrounding the area A would-be scholar of business identity studieshas to show a good deal of perspicacity not only in accommodating the richvariety of concepts in use but also in exerting acute vigilance in theirassessment of what he or she understands by the concept The effects offashion can clearly be seen in the 1950s and 1960s when much attention wasfocused on the concept of the ` corporate imagersquorsquo Yet in the 1970s ` corporateidentityrsquorsquo grew in popularity and to some degree was used in preference to` corporate imagersquorsquo The corporate identityconcept was not only used as asurrogate for ` image managementrsquorsquo but has been viewed by some authors suchas Dowling (1994) as being fundamentally concerned with visual identityOthers saw the concept as embracing the distinct characteristics of anorganisation (Van Riel and Balmer 1997) In recent years reference to the

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` corporate brandrsquorsquo or what is sometimes termed ` service brandingrsquorsquo (cf Balmer1995 De Chernatony 1999) has replaced reference to ` corporate identityrsquorsquo Ofparticular note is corporate reputation which as a concept has been in theascendant over recent years and has almost eclipsed references to the corporateimage in the literature and in management parlance What is apparent is thattoo many practitioners and some scholars have tended to regard the emergenceof a new concept as a replacement to what has gone before rather thanconsidering each new concept for its potential in building on what preceded itand furthering therefore the general understanding of the creationmanagement and saliency of business identity

Tenth explanation for the fog the inappropriateness of the positivistic researchparadigm in the initial stage of theory generation vis-aAacute-vis identityUndue attention has been given to measuring the outcomes and benefits ofeffective business identity management Providing a firm foundation regardingthe nature andor driving forces of business identity will do much to lift the fogsurrounding the area In this regard the research paradigm of naturalism isperhaps more appropriate than positivism in explaining a phenomenon such ascorporate identity which has not previously been subjected to a great deal ofempirical research viz Van Mannen (1985) Case studies can also be usefulwith regard to theory building research in the field of corporate identity Oliver(1997) argued the importance of case study research albeit in relation tocorporate communication and stated that formal theories do develop from casestudies Oliver is supported in her view by others including Gill and Johnson(1991) and Yin (1984)

While some caution needs to be applied to the maxim found in VirgilrsquosAeneid ` ab uno disce omnesrsquorsquo (from one learn all) it would perhaps be equallyperverse to suggest the opposite that nothing is gained from the findings ofcase studies This is after all the modus operandi underpinning HarvardBusiness Schoolrsquos pedagogical approach

Deshpande (1983) notes that quantitative methods are more suitable fortheory testing than theory generation Vankatesh (1985 p 62) commented thatthe emphasis on empirical research data analysis and quantitative modellingoffers little potential for theory generation As such the author argues thatmarketing scholars should give a greater emphasis to qualitative and casestudy research

Eleventh explanation for the fog the paucity of empirical academic researchThree reasons are postulated by the writer as to why there has been a lack ofpublished empirical research

(1) Until recently the traditional lack of interest from all but a fewmanagement academics

(2) The difficulty in getting published in mainstream management journals

(3) The difficulty in undertaking research into corporate identity

Corporate identitybranding and

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269

Invariably business identity issues encompass issues that are of particularsensitivity and have fundamental importance to organisations and their seniormanagement Therefore researchers are likely to experience acute difficulty inresearching changes of business identity which probe into the quintessence ofan organisationrsquos existence and which can propel to the fore issues of greatsensitivity and political importance In addition new scholars are likely to havethe wherewithall to extrapolate data and disseminate their findings throughlearned journals

Although this traditionally has been the case it is difficult to say whetherthis is a cause or effect vis-aAacute -vis points (1) to (3) Perhaps all elements have madea contribution What is encouraging is that more scholars are embarking onresearch into this business identity and this is represented in the burgeoningnumber of candidates embarking upon doctoral research in corporate identitySignificant empirical research to date includes that by Balmer and Wilson(1998) relating to the BBC and a major UK high street bank Dutton andDukerichrsquos (1991) research on the New York port authority Elsbach andKramerrsquos (1996) research in US universities Gioia and Thomasrsquos (1996)investigation relating to universities and Van Rekomrsquos (1997) study focusing ona sector of the Dutch tourism industry

Twelfth explanation for the fog undue focus being accorded to the businessidentities of holding companiesparent organisationsThe literature reveals a bias towards the identities of holding or parentcompanies with insufficient attention being given to the identities ofsubsidiaries as well as to industrial identities alliances licensing arrangementsand to federal types of organisational structures An exception to the latter wasBalmerrsquos (1996) research which focused on BBC Scotland plusmn a subsidiary of theBBC The emphasis accorded to the identities of parent organisations hasperhaps resulted in a far too simplistic categorisation regarding therelationship between subsidiaries business units and the holding companyThis can be seen in Olinsrsquos (1978) highly influential tripartite categorisation ofbusiness identities which he calls monolithic endorsed and brandedAlthough this is a useful basic classification it disguises the fact that parent-subsidiary relationships are invariably more complicated as evinced byKammerer (1989) Furthermore insufficient attention is given to the industry-wide generic identities with the exception of Balmer and Wilkinson (1991) andWilkinson and Balmer (1996)

Upon reflection there are other identity types such as the identity ofalliances including the ` Starrsquorsquo ` One Worldrsquorsquo and ` Wingsrsquorsquo airline alliances theidentity of consortiums such as the European Airbus and the sharing of abrand name by several important companies Examples include the Hiltonbrand name which is shared by Hilton Hotel of the USA and Ladbrokes of theUK the Rolls-Royce brand licensed to car manufacturers VWBMW(Germany) by the UK aero-engines group Rolls-Royce the multiplicity ofidentities subsumed beneath the umbrella of the Virgin brand and the Co-op

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270

brand in the UK which serves as an umbrella brand for its labyrinthicorganisational structure The simplistic approach to organisational structureand strategy outlined above and the graphic design bias has in the authorrsquosopinion served to obfuscate business identityrsquos palpable affinity with corporatestrategy

Thirteenth explanation for the fog the emphasis assigned to Anglo-Saxonforms of business structuresFor the main the various literatures of business identity focus on Anglo-Saxonforms of business identity which is characterised by short termism and whereshareholders are accorded particular importance Little has appeared inEuropean journals with regard to non Anglo-Saxon forms of businessidentities As such it would appear that undue emphasis is accorded to verticalrather than to horizontal organisational structures

There is prima facie case to suggest that existing Anglo-Saxon theories ofbusiness identity are inappropriate to certain organisational structuresoperating in other countries due to cultural and economic reasons This canperhaps be most clearly seen in Japan and Korea The traditional Japanesekeiretsu structure which encompasses well known brand names such asMitsubishi Mitsui and Sumitomo differ from their Anglo-Saxon counterpartsin that they invariably include financial services companies that can providefinance to other members of the keiretsu Typically each keiretsu structurecontains

a commercial bank a trust bank and a life insurance company

each group contains a trading company which supports other membersof the group through the provision of such things as intelligence andproject management

there is cross-shareholdings of such groups which makes it difficult fora member of the group to be threatened with an aggressive take-over

in times of crisis members of the kieretsu group will provide supportfinancial or service to the beleaguered company and finally

there is a leading group of companies

The Korean chaebol structure is similar to the Japanese keiretsu structure withthe exception that first members of the founding family still in some instancesmanage the company and second the chaebol does not contain powerfulfinancial institutions or trading companies

What is clear from the above illustration is that Eastern businessrelationships are more complicated than those witnessed in many Anglo-Saxoncompanies that the visualbranding structure is invariably applied to a familyof more or less autonomous companies rather than to a single commercialconcern that the notion of internal communications takes on a particularlyimportant role vis-aAacute -vis communication between members of the kieretsuchaebol and that the external communication is more complicated This is

Corporate identitybranding and

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271

because each company of the group not only needs to support its own corporatecommunication efforts and reputation but also that of the group Here thegrouprsquos reputation will appear to act as a powerful control mechanismBalmerrsquos (1998) DEAR Model (Decisions are Evaluated Against theorganisationrsquosgrouprsquos Reputation) may be of use in this regard

It is important to recall that there are other forms of organisational structureoperating in the West other than Anglo-Saxon structures One approachprevalent in southern Europe and termed ` the Latin approachrsquorsquo is according toCova and Aubert-Gamet (1997) based on the view that marketing institutionsare less effective than proximate communities influencing peoplesrsquo behaviourCova coined the term ` societingrsquorsquo to encapsulate this approach A case in pointis the Rhine model of organisations which for obvious reasons is prevalent inthose nations bordering the Rhine Here there are flatter more community-focused structures

In Germany businesses are not dominated by big brand names In a 1989survey for Business Week Germany accounted for only 3 per cent of the worldrsquos1000 largest companies Germanyrsquos strength (and also that of Northern Italy)rests in its Mittelstand These are small to medium-sized family businesses InGermany the characteristics of such companies are

family owned

financiers or investors are not owners or controllers of the companies

the objective is long term survival and

stakeholdersrsquo groupings cannot so easily be broken down into internaland external stakeholders

Interestingly concern is shown to stakeholders of the future Table IV providesa summation of the Anglo-Saxon and the Rhine and Asian approaches

Fourteenth explanation of the fog weaknesses in early traditional marketingmodels of corporate identitycorporate image management and formationThe fourteenth weakness identified by the writer is the weaknesses in many ofthe more influential conceptual models of corporate imageidentityreputationformation (Abratt 1989 Dowling 1986 1993 and Kennedy 1977) It wouldappear that in some of these models the writers confuse corporate identity withcorporate image While the writer is critical of some of the models each of themmakes a valuable contribution to the debate on the area Certainly several ofthese models were at the cutting edge of the debate on the area at the time theywere published These four models will be examined in turn

Abrattrsquos model (1989)Abrattrsquos conceptual and prescriptive model has the objective of explaining thecorporate image management process and adopts an ` outside inrsquorsquo focus (animage reputation focus) rather than an inside out (an identity personalityfocus) Abrattrsquos model is most useful in that it attempts to integrate the

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272

problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

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273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

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274

challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

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275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

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276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

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277

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phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

References

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Aberg L (1990) ` Theoretical model and praxis of total communicationsrsquorsquo International PublicRelations Review Vol 13 No 2

Abratt R (1989) ` A new approach to the corporate image management processrsquorsquo Journal of MarketingManagement Vol 5 No 1 pp 63-76

Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

Corporate identitybranding and

marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

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Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

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Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

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Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

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Marketing Vol 9 No 1 pp 32-9

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Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

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Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

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Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 13: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

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260

(3) the voice (this encompasses the multi-faceted way in whichorganisations communicate internally and externally to stakeholdergroups and networks and which is normally called ` total corporatecommunicationsrsquorsquo viz Balmer and Gray (1999)

Figure 1The evolvingrelationships betweencorporate identity andother conceptsdisciplines

Corporate identitybranding and

marketing

261

An additional trio of elements melding with the above form what Balmer andSoenen call the business identity management mix

The additional elements of Balmer and Soenenrsquos identity management mixare environmental forces (the need to take cognisance of this) stakeholders (theneed to be aware of stakeholders) and reputations (encompassing thereputation of the holding company its subsidiaries and business units thecountry-of-origin and the organisationrsquos partners such as alliance partners)

Mention may be made of those other authors who have attempted toarticulate the elements of a business identity These include Birkigt and Stadler(1986) the Mitsubishi Model of Japan (nd) and those by Schmidt (1995) andSteidl and Emory (1997)

Birkigt and Stadlerrsquos (1986) identity mix which is assigned a good deal ofimportance in Van Rielrsquos text (1995) and in a good deal of the subsequentliterature consists of a quartet of elements

(1) personality

(2) behaviour

(3) communication and

(4) symbolism

It would appear that this mix articulates the elements by which a businessidentity is known The mix emphasises the communications effect(s) of anorganisationrsquos behaviour communication policies and visual symbolism Themix is useful in revealing some of the major channels by which a businessidentity may be known and represents a distinct shift away from acategorisation of corporate identity in purely visual terms However incomparison to other more recent approaches it is somewhat narrow in scope

The primary objective of the Mitsubishi mix (nd) is to reveal those elementsthat constitute a business identity As with Balmer and Soenenrsquos (1999) mixthis approach draws on a trio of elements It is clear that a certain lineage maybe inferred between the English and Japanese approaches The Mitsubishi mixis segmented into what is called the mind identity (what the organisation isstriving to achieve) the strategic identity (the type of strategy which will causethe mind identity to become a reality) and the behaviour identity (the range andtypes of behaviour undertaken by the organisation)

Schmidtrsquos (1995) mix originating from the London-based Anglo-Germanconsultancy Henrion Ludlow and Schmidt comprises a quintet of elements

(1) corporate culture

(2) corporate behaviour

(3) market condition and strategies

(4) product and services and

(5) communication and design

EuropeanJournal ofMarketing3534

262

this clearly suggests it is a mix focusing on the management of businessidentity As such the mix takes cognisance of how an identity is revealed(through communications and design) but also assigns importance to marketconditions

Steidl and Emory (1997) have produced what is clearly a business identityrather than a business identity management mix As with Balmer and Soenen itwould appear that these two writers have been in part influenced by SinoNippon approaches to business identity and this is reflected in their choice ofterminology This Australian model is built around another trio of elementsthe mind (the philosophy and strategy through which the organisation securesthe support of customers) the spirit (the values of the organisation and theresponse this evokes amongst key stakeholder groups) and the body (the totalphysical infrastructure which is required to operate the business) Of note hereis the emphasis accorded to ` the bodyrsquorsquo which is not encompassed by the othermodels Rather surprisingly ` the bodyrsquorsquo does not encompass organisationalstructure Thus the author is of the view that a broader interpretationencompassing company structure would appear to be appropriate Theimportance of structure is similarly noted by Balmer and Gray (1999) Ind(1996) Morison (1997) and Stuart (1998a 1999b) The authorrsquos new identitymixes taking cognisance of the above comprises four elements and this isillustrated in Figure 2

Unlike the approaches used by Balmer and Soenen Schmidt and Steidl andEmory it has been decided to break with (at least from a British NorthAmerican and Commonwealth perspective) the practitioner legacy which usesthe human metaphor The four elements comprising this new mix are strategystructure communication and culture

The need to make a distinction between the variables comprising a businessidentity and the task elements to be considered with regard to the managementof a business identity mix is deserving of more attention by both scholars andpractitioners than has been the case to date

The implications of the authorrsquos new mix and those of many of other mixesis that researching a business identity involves using Gioiarsquos (1998 p 26)classification plusmn marrying the interpretive lens (with regard to understandingpersonnelrsquos various affinities to different identities) with the functionalist lens(with regard to the above parts of the mix) Consequently what is required is afurther breaking down of boundaries between research paradigms Thisprocess has implications not only for identity scholarship but also for identityconsultancy and management

Fifth explanation for the fog disagreement with regard to the objectives ofbusiness identity managementThe literature reveals a wide variety of purposes and objectives associated withbusiness identity management Balmerrsquos (1995) initial literature review

Corporate identitybranding and

marketing

263

revealed that corporate identity change programmes were variously used as avehicle to assist in

strategy formulation

culture-change

effective corporate communication

articulating a corporate strategy

articulatingchanging the organisationrsquos culture

acting as a platform for corporate communications and

ensuring that the organisationrsquos visual identity is fashionable

This is indicative of the multidisciplinary nature of the domain with the type ofidentity change reflecting the aspects of the organisationrsquos identity that requireattention

Significantly the effective management of a business identity has beenregarded as imbuing an organisation with a favourable image (cf Abratt 1989

Figure 2Balmerrsquos new identity

mix and identitymanagement mix

EuropeanJournal ofMarketing3534

264

Balmer 1995 Birkigt and Stadler 1986 Dowling 1994 Steidl and Emory 1997Tyrrell 1995 Van Rekom 1997) and more recently the acquisition of afavourable corporate reputation coupled with business survival andprofitability (Balmer and Stotvig 1997 Van Riel and Balmer 1997 Gray andBalmer 1998) The objective of acquiring a favourable corporate image hasfallen out of favour since the concept of the corporate image is fraught withdifficulty (Balmer 1998) The acquisition of a corporate brand on the otherhand has been identified as an objective of corporate identity management(Balmer 1999a) The ICIG statement reproduced in Appendix 1 cites a numberof possible objectives in relation to corporate identity management namely

fostering a sense of individuality

achieving differentiation in a competitive environment

providing disciplinary integration

providing a platform for coherent corporate communication

nurturing an image that is consistent with the organisationrsquos definingethos and character

nurturing understanding and commitment among stakeholders

attracting and retaining customers and employees

achieving strategic alliances and

gaining support of financial markets

Sixth explanation of the fog a traditional lack of dialogue between Anglophoneand non-Anglophone scholars and writersIn addition to the lack of dialogue between scholars from different disciplines anotable feature of the literature on business identity is how linguistic andcultural barriers have exerted an influence in the general understanding of thearea The most dramatic divide is between Anglophone and non-Anglophonenations For instance the literature on business identity emerging frommainland Europe appears to have developed quite independently from theNorth American literature and also from that of the UK and the old (British)Commonwealth and vice versa An example of this is the French school ofthought on corporate identity (Moingeon and Ramanantsoa 1997) TheNetherlands appears to be the exception to the rule owing to the linguisticdexterity of the peoples of that kingdom This can be seen in Van Rielrsquos (1995)influential text Principles of Corporate Communication which contains averitable cornucopia of international sources

Further afield questions of language have hindered our understanding ofSino and Japanese approaches to the area The current understanding ofbusiness identity in `Westernrsquorsquo nations might need to undertake a furtherradical reappraisal in order to accommodate what appear to be substantivedifferences of approach between ` Westernrsquorsquo and ` Asianrsquorsquo scholars of businessidentity Reference has already been made to the Mitsubishi mix According to

Corporate identitybranding and

marketing

265

Steidl and Emory (1997 pp 4-5) the Japanese approach to business identityadopts a radically different manner from that found in other nations They referto Motoo Nakanishi the chairman of one of Japanrsquos foremost businessconsultancies who states that Japanese business identity change programmesare characterised by their longevity in planning and implementation and thatthey are also dependent upon the CEO championing such a change In contrastNakanishi comments that US identity change programmes reflect the characterof the CEO to a greater extent than Asian approaches are similar to Japaneseprogrammes in their reliance on the CEO for their success are more project-orientated and are short-term in scope For their part Johansson and Hirano(1999) point out that in Asia there is a higher degree of parallelism betweenindividual and corporate objectives than in the West cf Balmer and Wilson(1998)

Seventh explanation for the fog the traditional lack of dialogue betweenresearchers from different disciplinesThe business identity literatures encompass distinctive and not so distinctiveschools of thought business communications and corporate communications(Cheney and Christensen 1999 Van Riel 1995) graphic design (Olins 1995Schmidt 1995) image and image-research (Brown 1998 Barich and Kotler1991 Worcester 19861997) marketing (Abratt 1989) organisationalbehaviour (Albert and Whetten 1985 Mael and Ashforth 1992) publicrelations (Grunig 1993) psychology (Bromley 1993) reputation (Fombrun1996) and strategy (Gray and Smeltzer 1985 Marwick and Fill 1997 Morison1997) A multi-disciplinary approach is adopted by Balmer (1995 1998) with astrong marketingcommunications emphasis

Despite the wealth of disciplines the degree of cross fertilisation of ideas andinsights from these literatures is comparatively slight It would appear thatbusiness identity issues have to a large degree matured along narrow verticaland disciplinary paradigms There has been little in the way of multi-disciplinary holistic development This may be placed in the context of thevarious business identity mixes articulated by Balmer and Soenen (1997)Birkigt and Stadler (1986) Schmidt (1995) and Steidl and Emory (1997) thatclearly demand that a broad multi-disciplinary approach be adopted

Mention may also be made of Whetten and Godfreyrsquos (1998) book Identity inOrganisations where academics from a number of disciplines discuss variousfacets of the business identity world However there is a paucity of materialemanating from British Commonwealth and European sources in this text andfor the main little from the marketing literature is marshalled This may becontrasted with the recent marketing literature where organisationalbehaviourists for instance have made a significant contribution

Eighth explanation for the fog the association with graphic designThe importance accorded to graphic design in the business identity literaturehas exacerbated the confusion surrounding the area and may in retrospect be

EuropeanJournal ofMarketing3534

266

seen to have exerted a deleterious influence regarding the conceptualisation ofidentity In the past this has led to the business identity domain being narrowlyconceived Some writers with backgrounds in marketing and communicationhave accorded symbolism the same importance as other business identityelements such as behaviour and communication viz Birkigt and Stadler (1986)The emphasis accorded to graphic design in business identity studies has beenperpetuated by many so-called corporate identity consultancies who are to allintents and purposes graphic design consultancies Research undertaken byMORI revealed that significant numbers of managers in UK and Europe stillequate UK-based corporate identity with graphic design (cf Schmidt 1995)Such has been the influence of graphic design that it has almost becomeaxiomatic that any change of business identity will have an attendant changeof visual identity The author has not to date discovered a case where acorporate identity consultancy advising a client during a business identitychange programme has not as a minimum tweaked the corporate logo This isa curious state of affairs and again raises some profound questions Wolff Olins(Europersquos largest corporate identity consultancy) in their ` Guide to corporateidentityrsquorsquo produced for the UK weekly magazine Marketing (1990 pp 19-24)made this very point

Because of corporate identityrsquos roots in design it will probably entail a new or revised logodesign

With the passing of ten years little appears to have altered For instance themajority of personnel employed by corporate identity consultancies tend tohave a background in graphic design The author is of the view that thegraphic design emphasis ascribed to business identity has thrown the area outof kilter This has had the unfortunate effect of stifling a broader moresophisticated and scholarly appreciation of business identity The distinctcorporate identity and organisational identity literatures although somewhatparvenu in relation to the visual identity literature have without doubt made aprofound contribution to the general understanding of business identity overrecent years What is required is for a more balanced appraisal to take place vis-aAacute -vis the power of visual identity and of graphic design in what is starting to beknown as the corporate identity mixbusiness identity mix What is not refutedby the author is that visual identification does unquestionably have powerVan Riel (1995) pointed out the wide impact of visual communication when hewrote that the average lorry is capable of delivering 7-9 million visualimpressions per year or about 60 per kilometre Empirical work undertaken byMelewar and Saunders (1998) revealed the benefit of standardised globalcorporate visual identity systems Furthermore the use of what is known as` the visual auditrsquorsquo (an examination of the organisationrsquos symbolism and brandstructure) has been shown to be a most effective initial means ofcomprehending an organisationrsquos cultures power-base strategies andcommunication As such the visual audit may provide useful insights into anorganisationrsquos identity

Corporate identitybranding and

marketing

267

However whereas a visual audit may reveal symptoms of inherent corporatemalaise many organisations fall into the trap of resorting to the initiation of anew visual identity as a means of correcting what can be profoundorganisational difficulties This may suggest a degree of naivety on the part ofsome senior managers and consultancies in failing to differentiate between thecauses and the symptoms (visual-identity) of a weak inconsistent negative orunwanted business identity As a result of this approach a number of authorstend to define corporate identity in prosaic terms namely ` what anorganisation isrsquorsquo While inadequate as a definition it does help to distance thearea from the narrow graphic design perspective

The emphasis on the visual has had another unfortunate effect in cloudingover the importance of the other senses of sound scent taste and touch Itwould be perverse to suggest that visually impaired customers employees orinvestors are unable to recognise differentiate between or form opinions oforganisations Upon reflection it becomes apparent that the non-visual sensescan be just as powerful in communicating the identity of a collective group Forexample the aural sense has a dominant role in the recognition of the identitiesof radio stations The aural sense also helps to differentiate one nation statefrom another via the use of languages and national anthems Important lessonscan in this regard be learned from ancient institutions such as the CatholicChurch which marshals all the senses to forge an impressive panoply ofsignals to support the Catholic Churchrsquos tenets and beliefs Although theCatholic Church has in recent years offered a somewhat flaccid version of itsidentity it is still possible to experience the effect of marshalling of all thesenses in an experience which is unique to the Catholic faith Thus at atraditional solemn celebration of the liturgy at Londonrsquos Brompton Oratorythe churchrsquos distinctiveness is communicated through among otherssymbolism (vestments church furnishings architecture posture of clergy andlaity) sound (Latin Gregorian chant and polyphony) smell (incense) touch(holy water) and taste (taking the sacrament)

Ninth explanation for the fog the effect of fashionVagaries in fashion in the use of concepts have played their part in thickeningthe fog surrounding the area A would-be scholar of business identity studieshas to show a good deal of perspicacity not only in accommodating the richvariety of concepts in use but also in exerting acute vigilance in theirassessment of what he or she understands by the concept The effects offashion can clearly be seen in the 1950s and 1960s when much attention wasfocused on the concept of the ` corporate imagersquorsquo Yet in the 1970s ` corporateidentityrsquorsquo grew in popularity and to some degree was used in preference to` corporate imagersquorsquo The corporate identityconcept was not only used as asurrogate for ` image managementrsquorsquo but has been viewed by some authors suchas Dowling (1994) as being fundamentally concerned with visual identityOthers saw the concept as embracing the distinct characteristics of anorganisation (Van Riel and Balmer 1997) In recent years reference to the

EuropeanJournal ofMarketing3534

268

` corporate brandrsquorsquo or what is sometimes termed ` service brandingrsquorsquo (cf Balmer1995 De Chernatony 1999) has replaced reference to ` corporate identityrsquorsquo Ofparticular note is corporate reputation which as a concept has been in theascendant over recent years and has almost eclipsed references to the corporateimage in the literature and in management parlance What is apparent is thattoo many practitioners and some scholars have tended to regard the emergenceof a new concept as a replacement to what has gone before rather thanconsidering each new concept for its potential in building on what preceded itand furthering therefore the general understanding of the creationmanagement and saliency of business identity

Tenth explanation for the fog the inappropriateness of the positivistic researchparadigm in the initial stage of theory generation vis-aAacute-vis identityUndue attention has been given to measuring the outcomes and benefits ofeffective business identity management Providing a firm foundation regardingthe nature andor driving forces of business identity will do much to lift the fogsurrounding the area In this regard the research paradigm of naturalism isperhaps more appropriate than positivism in explaining a phenomenon such ascorporate identity which has not previously been subjected to a great deal ofempirical research viz Van Mannen (1985) Case studies can also be usefulwith regard to theory building research in the field of corporate identity Oliver(1997) argued the importance of case study research albeit in relation tocorporate communication and stated that formal theories do develop from casestudies Oliver is supported in her view by others including Gill and Johnson(1991) and Yin (1984)

While some caution needs to be applied to the maxim found in VirgilrsquosAeneid ` ab uno disce omnesrsquorsquo (from one learn all) it would perhaps be equallyperverse to suggest the opposite that nothing is gained from the findings ofcase studies This is after all the modus operandi underpinning HarvardBusiness Schoolrsquos pedagogical approach

Deshpande (1983) notes that quantitative methods are more suitable fortheory testing than theory generation Vankatesh (1985 p 62) commented thatthe emphasis on empirical research data analysis and quantitative modellingoffers little potential for theory generation As such the author argues thatmarketing scholars should give a greater emphasis to qualitative and casestudy research

Eleventh explanation for the fog the paucity of empirical academic researchThree reasons are postulated by the writer as to why there has been a lack ofpublished empirical research

(1) Until recently the traditional lack of interest from all but a fewmanagement academics

(2) The difficulty in getting published in mainstream management journals

(3) The difficulty in undertaking research into corporate identity

Corporate identitybranding and

marketing

269

Invariably business identity issues encompass issues that are of particularsensitivity and have fundamental importance to organisations and their seniormanagement Therefore researchers are likely to experience acute difficulty inresearching changes of business identity which probe into the quintessence ofan organisationrsquos existence and which can propel to the fore issues of greatsensitivity and political importance In addition new scholars are likely to havethe wherewithall to extrapolate data and disseminate their findings throughlearned journals

Although this traditionally has been the case it is difficult to say whetherthis is a cause or effect vis-aAacute -vis points (1) to (3) Perhaps all elements have madea contribution What is encouraging is that more scholars are embarking onresearch into this business identity and this is represented in the burgeoningnumber of candidates embarking upon doctoral research in corporate identitySignificant empirical research to date includes that by Balmer and Wilson(1998) relating to the BBC and a major UK high street bank Dutton andDukerichrsquos (1991) research on the New York port authority Elsbach andKramerrsquos (1996) research in US universities Gioia and Thomasrsquos (1996)investigation relating to universities and Van Rekomrsquos (1997) study focusing ona sector of the Dutch tourism industry

Twelfth explanation for the fog undue focus being accorded to the businessidentities of holding companiesparent organisationsThe literature reveals a bias towards the identities of holding or parentcompanies with insufficient attention being given to the identities ofsubsidiaries as well as to industrial identities alliances licensing arrangementsand to federal types of organisational structures An exception to the latter wasBalmerrsquos (1996) research which focused on BBC Scotland plusmn a subsidiary of theBBC The emphasis accorded to the identities of parent organisations hasperhaps resulted in a far too simplistic categorisation regarding therelationship between subsidiaries business units and the holding companyThis can be seen in Olinsrsquos (1978) highly influential tripartite categorisation ofbusiness identities which he calls monolithic endorsed and brandedAlthough this is a useful basic classification it disguises the fact that parent-subsidiary relationships are invariably more complicated as evinced byKammerer (1989) Furthermore insufficient attention is given to the industry-wide generic identities with the exception of Balmer and Wilkinson (1991) andWilkinson and Balmer (1996)

Upon reflection there are other identity types such as the identity ofalliances including the ` Starrsquorsquo ` One Worldrsquorsquo and ` Wingsrsquorsquo airline alliances theidentity of consortiums such as the European Airbus and the sharing of abrand name by several important companies Examples include the Hiltonbrand name which is shared by Hilton Hotel of the USA and Ladbrokes of theUK the Rolls-Royce brand licensed to car manufacturers VWBMW(Germany) by the UK aero-engines group Rolls-Royce the multiplicity ofidentities subsumed beneath the umbrella of the Virgin brand and the Co-op

EuropeanJournal ofMarketing3534

270

brand in the UK which serves as an umbrella brand for its labyrinthicorganisational structure The simplistic approach to organisational structureand strategy outlined above and the graphic design bias has in the authorrsquosopinion served to obfuscate business identityrsquos palpable affinity with corporatestrategy

Thirteenth explanation for the fog the emphasis assigned to Anglo-Saxonforms of business structuresFor the main the various literatures of business identity focus on Anglo-Saxonforms of business identity which is characterised by short termism and whereshareholders are accorded particular importance Little has appeared inEuropean journals with regard to non Anglo-Saxon forms of businessidentities As such it would appear that undue emphasis is accorded to verticalrather than to horizontal organisational structures

There is prima facie case to suggest that existing Anglo-Saxon theories ofbusiness identity are inappropriate to certain organisational structuresoperating in other countries due to cultural and economic reasons This canperhaps be most clearly seen in Japan and Korea The traditional Japanesekeiretsu structure which encompasses well known brand names such asMitsubishi Mitsui and Sumitomo differ from their Anglo-Saxon counterpartsin that they invariably include financial services companies that can providefinance to other members of the keiretsu Typically each keiretsu structurecontains

a commercial bank a trust bank and a life insurance company

each group contains a trading company which supports other membersof the group through the provision of such things as intelligence andproject management

there is cross-shareholdings of such groups which makes it difficult fora member of the group to be threatened with an aggressive take-over

in times of crisis members of the kieretsu group will provide supportfinancial or service to the beleaguered company and finally

there is a leading group of companies

The Korean chaebol structure is similar to the Japanese keiretsu structure withthe exception that first members of the founding family still in some instancesmanage the company and second the chaebol does not contain powerfulfinancial institutions or trading companies

What is clear from the above illustration is that Eastern businessrelationships are more complicated than those witnessed in many Anglo-Saxoncompanies that the visualbranding structure is invariably applied to a familyof more or less autonomous companies rather than to a single commercialconcern that the notion of internal communications takes on a particularlyimportant role vis-aAacute -vis communication between members of the kieretsuchaebol and that the external communication is more complicated This is

Corporate identitybranding and

marketing

271

because each company of the group not only needs to support its own corporatecommunication efforts and reputation but also that of the group Here thegrouprsquos reputation will appear to act as a powerful control mechanismBalmerrsquos (1998) DEAR Model (Decisions are Evaluated Against theorganisationrsquosgrouprsquos Reputation) may be of use in this regard

It is important to recall that there are other forms of organisational structureoperating in the West other than Anglo-Saxon structures One approachprevalent in southern Europe and termed ` the Latin approachrsquorsquo is according toCova and Aubert-Gamet (1997) based on the view that marketing institutionsare less effective than proximate communities influencing peoplesrsquo behaviourCova coined the term ` societingrsquorsquo to encapsulate this approach A case in pointis the Rhine model of organisations which for obvious reasons is prevalent inthose nations bordering the Rhine Here there are flatter more community-focused structures

In Germany businesses are not dominated by big brand names In a 1989survey for Business Week Germany accounted for only 3 per cent of the worldrsquos1000 largest companies Germanyrsquos strength (and also that of Northern Italy)rests in its Mittelstand These are small to medium-sized family businesses InGermany the characteristics of such companies are

family owned

financiers or investors are not owners or controllers of the companies

the objective is long term survival and

stakeholdersrsquo groupings cannot so easily be broken down into internaland external stakeholders

Interestingly concern is shown to stakeholders of the future Table IV providesa summation of the Anglo-Saxon and the Rhine and Asian approaches

Fourteenth explanation of the fog weaknesses in early traditional marketingmodels of corporate identitycorporate image management and formationThe fourteenth weakness identified by the writer is the weaknesses in many ofthe more influential conceptual models of corporate imageidentityreputationformation (Abratt 1989 Dowling 1986 1993 and Kennedy 1977) It wouldappear that in some of these models the writers confuse corporate identity withcorporate image While the writer is critical of some of the models each of themmakes a valuable contribution to the debate on the area Certainly several ofthese models were at the cutting edge of the debate on the area at the time theywere published These four models will be examined in turn

Abrattrsquos model (1989)Abrattrsquos conceptual and prescriptive model has the objective of explaining thecorporate image management process and adopts an ` outside inrsquorsquo focus (animage reputation focus) rather than an inside out (an identity personalityfocus) Abrattrsquos model is most useful in that it attempts to integrate the

EuropeanJournal ofMarketing3534

272

problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

marketing

273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

EuropeanJournal ofMarketing3534

274

challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

marketing

275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

EuropeanJournal ofMarketing3534

276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

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marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

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288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 14: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

Corporate identitybranding and

marketing

261

An additional trio of elements melding with the above form what Balmer andSoenen call the business identity management mix

The additional elements of Balmer and Soenenrsquos identity management mixare environmental forces (the need to take cognisance of this) stakeholders (theneed to be aware of stakeholders) and reputations (encompassing thereputation of the holding company its subsidiaries and business units thecountry-of-origin and the organisationrsquos partners such as alliance partners)

Mention may be made of those other authors who have attempted toarticulate the elements of a business identity These include Birkigt and Stadler(1986) the Mitsubishi Model of Japan (nd) and those by Schmidt (1995) andSteidl and Emory (1997)

Birkigt and Stadlerrsquos (1986) identity mix which is assigned a good deal ofimportance in Van Rielrsquos text (1995) and in a good deal of the subsequentliterature consists of a quartet of elements

(1) personality

(2) behaviour

(3) communication and

(4) symbolism

It would appear that this mix articulates the elements by which a businessidentity is known The mix emphasises the communications effect(s) of anorganisationrsquos behaviour communication policies and visual symbolism Themix is useful in revealing some of the major channels by which a businessidentity may be known and represents a distinct shift away from acategorisation of corporate identity in purely visual terms However incomparison to other more recent approaches it is somewhat narrow in scope

The primary objective of the Mitsubishi mix (nd) is to reveal those elementsthat constitute a business identity As with Balmer and Soenenrsquos (1999) mixthis approach draws on a trio of elements It is clear that a certain lineage maybe inferred between the English and Japanese approaches The Mitsubishi mixis segmented into what is called the mind identity (what the organisation isstriving to achieve) the strategic identity (the type of strategy which will causethe mind identity to become a reality) and the behaviour identity (the range andtypes of behaviour undertaken by the organisation)

Schmidtrsquos (1995) mix originating from the London-based Anglo-Germanconsultancy Henrion Ludlow and Schmidt comprises a quintet of elements

(1) corporate culture

(2) corporate behaviour

(3) market condition and strategies

(4) product and services and

(5) communication and design

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this clearly suggests it is a mix focusing on the management of businessidentity As such the mix takes cognisance of how an identity is revealed(through communications and design) but also assigns importance to marketconditions

Steidl and Emory (1997) have produced what is clearly a business identityrather than a business identity management mix As with Balmer and Soenen itwould appear that these two writers have been in part influenced by SinoNippon approaches to business identity and this is reflected in their choice ofterminology This Australian model is built around another trio of elementsthe mind (the philosophy and strategy through which the organisation securesthe support of customers) the spirit (the values of the organisation and theresponse this evokes amongst key stakeholder groups) and the body (the totalphysical infrastructure which is required to operate the business) Of note hereis the emphasis accorded to ` the bodyrsquorsquo which is not encompassed by the othermodels Rather surprisingly ` the bodyrsquorsquo does not encompass organisationalstructure Thus the author is of the view that a broader interpretationencompassing company structure would appear to be appropriate Theimportance of structure is similarly noted by Balmer and Gray (1999) Ind(1996) Morison (1997) and Stuart (1998a 1999b) The authorrsquos new identitymixes taking cognisance of the above comprises four elements and this isillustrated in Figure 2

Unlike the approaches used by Balmer and Soenen Schmidt and Steidl andEmory it has been decided to break with (at least from a British NorthAmerican and Commonwealth perspective) the practitioner legacy which usesthe human metaphor The four elements comprising this new mix are strategystructure communication and culture

The need to make a distinction between the variables comprising a businessidentity and the task elements to be considered with regard to the managementof a business identity mix is deserving of more attention by both scholars andpractitioners than has been the case to date

The implications of the authorrsquos new mix and those of many of other mixesis that researching a business identity involves using Gioiarsquos (1998 p 26)classification plusmn marrying the interpretive lens (with regard to understandingpersonnelrsquos various affinities to different identities) with the functionalist lens(with regard to the above parts of the mix) Consequently what is required is afurther breaking down of boundaries between research paradigms Thisprocess has implications not only for identity scholarship but also for identityconsultancy and management

Fifth explanation for the fog disagreement with regard to the objectives ofbusiness identity managementThe literature reveals a wide variety of purposes and objectives associated withbusiness identity management Balmerrsquos (1995) initial literature review

Corporate identitybranding and

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263

revealed that corporate identity change programmes were variously used as avehicle to assist in

strategy formulation

culture-change

effective corporate communication

articulating a corporate strategy

articulatingchanging the organisationrsquos culture

acting as a platform for corporate communications and

ensuring that the organisationrsquos visual identity is fashionable

This is indicative of the multidisciplinary nature of the domain with the type ofidentity change reflecting the aspects of the organisationrsquos identity that requireattention

Significantly the effective management of a business identity has beenregarded as imbuing an organisation with a favourable image (cf Abratt 1989

Figure 2Balmerrsquos new identity

mix and identitymanagement mix

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264

Balmer 1995 Birkigt and Stadler 1986 Dowling 1994 Steidl and Emory 1997Tyrrell 1995 Van Rekom 1997) and more recently the acquisition of afavourable corporate reputation coupled with business survival andprofitability (Balmer and Stotvig 1997 Van Riel and Balmer 1997 Gray andBalmer 1998) The objective of acquiring a favourable corporate image hasfallen out of favour since the concept of the corporate image is fraught withdifficulty (Balmer 1998) The acquisition of a corporate brand on the otherhand has been identified as an objective of corporate identity management(Balmer 1999a) The ICIG statement reproduced in Appendix 1 cites a numberof possible objectives in relation to corporate identity management namely

fostering a sense of individuality

achieving differentiation in a competitive environment

providing disciplinary integration

providing a platform for coherent corporate communication

nurturing an image that is consistent with the organisationrsquos definingethos and character

nurturing understanding and commitment among stakeholders

attracting and retaining customers and employees

achieving strategic alliances and

gaining support of financial markets

Sixth explanation of the fog a traditional lack of dialogue between Anglophoneand non-Anglophone scholars and writersIn addition to the lack of dialogue between scholars from different disciplines anotable feature of the literature on business identity is how linguistic andcultural barriers have exerted an influence in the general understanding of thearea The most dramatic divide is between Anglophone and non-Anglophonenations For instance the literature on business identity emerging frommainland Europe appears to have developed quite independently from theNorth American literature and also from that of the UK and the old (British)Commonwealth and vice versa An example of this is the French school ofthought on corporate identity (Moingeon and Ramanantsoa 1997) TheNetherlands appears to be the exception to the rule owing to the linguisticdexterity of the peoples of that kingdom This can be seen in Van Rielrsquos (1995)influential text Principles of Corporate Communication which contains averitable cornucopia of international sources

Further afield questions of language have hindered our understanding ofSino and Japanese approaches to the area The current understanding ofbusiness identity in `Westernrsquorsquo nations might need to undertake a furtherradical reappraisal in order to accommodate what appear to be substantivedifferences of approach between ` Westernrsquorsquo and ` Asianrsquorsquo scholars of businessidentity Reference has already been made to the Mitsubishi mix According to

Corporate identitybranding and

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265

Steidl and Emory (1997 pp 4-5) the Japanese approach to business identityadopts a radically different manner from that found in other nations They referto Motoo Nakanishi the chairman of one of Japanrsquos foremost businessconsultancies who states that Japanese business identity change programmesare characterised by their longevity in planning and implementation and thatthey are also dependent upon the CEO championing such a change In contrastNakanishi comments that US identity change programmes reflect the characterof the CEO to a greater extent than Asian approaches are similar to Japaneseprogrammes in their reliance on the CEO for their success are more project-orientated and are short-term in scope For their part Johansson and Hirano(1999) point out that in Asia there is a higher degree of parallelism betweenindividual and corporate objectives than in the West cf Balmer and Wilson(1998)

Seventh explanation for the fog the traditional lack of dialogue betweenresearchers from different disciplinesThe business identity literatures encompass distinctive and not so distinctiveschools of thought business communications and corporate communications(Cheney and Christensen 1999 Van Riel 1995) graphic design (Olins 1995Schmidt 1995) image and image-research (Brown 1998 Barich and Kotler1991 Worcester 19861997) marketing (Abratt 1989) organisationalbehaviour (Albert and Whetten 1985 Mael and Ashforth 1992) publicrelations (Grunig 1993) psychology (Bromley 1993) reputation (Fombrun1996) and strategy (Gray and Smeltzer 1985 Marwick and Fill 1997 Morison1997) A multi-disciplinary approach is adopted by Balmer (1995 1998) with astrong marketingcommunications emphasis

Despite the wealth of disciplines the degree of cross fertilisation of ideas andinsights from these literatures is comparatively slight It would appear thatbusiness identity issues have to a large degree matured along narrow verticaland disciplinary paradigms There has been little in the way of multi-disciplinary holistic development This may be placed in the context of thevarious business identity mixes articulated by Balmer and Soenen (1997)Birkigt and Stadler (1986) Schmidt (1995) and Steidl and Emory (1997) thatclearly demand that a broad multi-disciplinary approach be adopted

Mention may also be made of Whetten and Godfreyrsquos (1998) book Identity inOrganisations where academics from a number of disciplines discuss variousfacets of the business identity world However there is a paucity of materialemanating from British Commonwealth and European sources in this text andfor the main little from the marketing literature is marshalled This may becontrasted with the recent marketing literature where organisationalbehaviourists for instance have made a significant contribution

Eighth explanation for the fog the association with graphic designThe importance accorded to graphic design in the business identity literaturehas exacerbated the confusion surrounding the area and may in retrospect be

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seen to have exerted a deleterious influence regarding the conceptualisation ofidentity In the past this has led to the business identity domain being narrowlyconceived Some writers with backgrounds in marketing and communicationhave accorded symbolism the same importance as other business identityelements such as behaviour and communication viz Birkigt and Stadler (1986)The emphasis accorded to graphic design in business identity studies has beenperpetuated by many so-called corporate identity consultancies who are to allintents and purposes graphic design consultancies Research undertaken byMORI revealed that significant numbers of managers in UK and Europe stillequate UK-based corporate identity with graphic design (cf Schmidt 1995)Such has been the influence of graphic design that it has almost becomeaxiomatic that any change of business identity will have an attendant changeof visual identity The author has not to date discovered a case where acorporate identity consultancy advising a client during a business identitychange programme has not as a minimum tweaked the corporate logo This isa curious state of affairs and again raises some profound questions Wolff Olins(Europersquos largest corporate identity consultancy) in their ` Guide to corporateidentityrsquorsquo produced for the UK weekly magazine Marketing (1990 pp 19-24)made this very point

Because of corporate identityrsquos roots in design it will probably entail a new or revised logodesign

With the passing of ten years little appears to have altered For instance themajority of personnel employed by corporate identity consultancies tend tohave a background in graphic design The author is of the view that thegraphic design emphasis ascribed to business identity has thrown the area outof kilter This has had the unfortunate effect of stifling a broader moresophisticated and scholarly appreciation of business identity The distinctcorporate identity and organisational identity literatures although somewhatparvenu in relation to the visual identity literature have without doubt made aprofound contribution to the general understanding of business identity overrecent years What is required is for a more balanced appraisal to take place vis-aAacute -vis the power of visual identity and of graphic design in what is starting to beknown as the corporate identity mixbusiness identity mix What is not refutedby the author is that visual identification does unquestionably have powerVan Riel (1995) pointed out the wide impact of visual communication when hewrote that the average lorry is capable of delivering 7-9 million visualimpressions per year or about 60 per kilometre Empirical work undertaken byMelewar and Saunders (1998) revealed the benefit of standardised globalcorporate visual identity systems Furthermore the use of what is known as` the visual auditrsquorsquo (an examination of the organisationrsquos symbolism and brandstructure) has been shown to be a most effective initial means ofcomprehending an organisationrsquos cultures power-base strategies andcommunication As such the visual audit may provide useful insights into anorganisationrsquos identity

Corporate identitybranding and

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267

However whereas a visual audit may reveal symptoms of inherent corporatemalaise many organisations fall into the trap of resorting to the initiation of anew visual identity as a means of correcting what can be profoundorganisational difficulties This may suggest a degree of naivety on the part ofsome senior managers and consultancies in failing to differentiate between thecauses and the symptoms (visual-identity) of a weak inconsistent negative orunwanted business identity As a result of this approach a number of authorstend to define corporate identity in prosaic terms namely ` what anorganisation isrsquorsquo While inadequate as a definition it does help to distance thearea from the narrow graphic design perspective

The emphasis on the visual has had another unfortunate effect in cloudingover the importance of the other senses of sound scent taste and touch Itwould be perverse to suggest that visually impaired customers employees orinvestors are unable to recognise differentiate between or form opinions oforganisations Upon reflection it becomes apparent that the non-visual sensescan be just as powerful in communicating the identity of a collective group Forexample the aural sense has a dominant role in the recognition of the identitiesof radio stations The aural sense also helps to differentiate one nation statefrom another via the use of languages and national anthems Important lessonscan in this regard be learned from ancient institutions such as the CatholicChurch which marshals all the senses to forge an impressive panoply ofsignals to support the Catholic Churchrsquos tenets and beliefs Although theCatholic Church has in recent years offered a somewhat flaccid version of itsidentity it is still possible to experience the effect of marshalling of all thesenses in an experience which is unique to the Catholic faith Thus at atraditional solemn celebration of the liturgy at Londonrsquos Brompton Oratorythe churchrsquos distinctiveness is communicated through among otherssymbolism (vestments church furnishings architecture posture of clergy andlaity) sound (Latin Gregorian chant and polyphony) smell (incense) touch(holy water) and taste (taking the sacrament)

Ninth explanation for the fog the effect of fashionVagaries in fashion in the use of concepts have played their part in thickeningthe fog surrounding the area A would-be scholar of business identity studieshas to show a good deal of perspicacity not only in accommodating the richvariety of concepts in use but also in exerting acute vigilance in theirassessment of what he or she understands by the concept The effects offashion can clearly be seen in the 1950s and 1960s when much attention wasfocused on the concept of the ` corporate imagersquorsquo Yet in the 1970s ` corporateidentityrsquorsquo grew in popularity and to some degree was used in preference to` corporate imagersquorsquo The corporate identityconcept was not only used as asurrogate for ` image managementrsquorsquo but has been viewed by some authors suchas Dowling (1994) as being fundamentally concerned with visual identityOthers saw the concept as embracing the distinct characteristics of anorganisation (Van Riel and Balmer 1997) In recent years reference to the

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` corporate brandrsquorsquo or what is sometimes termed ` service brandingrsquorsquo (cf Balmer1995 De Chernatony 1999) has replaced reference to ` corporate identityrsquorsquo Ofparticular note is corporate reputation which as a concept has been in theascendant over recent years and has almost eclipsed references to the corporateimage in the literature and in management parlance What is apparent is thattoo many practitioners and some scholars have tended to regard the emergenceof a new concept as a replacement to what has gone before rather thanconsidering each new concept for its potential in building on what preceded itand furthering therefore the general understanding of the creationmanagement and saliency of business identity

Tenth explanation for the fog the inappropriateness of the positivistic researchparadigm in the initial stage of theory generation vis-aAacute-vis identityUndue attention has been given to measuring the outcomes and benefits ofeffective business identity management Providing a firm foundation regardingthe nature andor driving forces of business identity will do much to lift the fogsurrounding the area In this regard the research paradigm of naturalism isperhaps more appropriate than positivism in explaining a phenomenon such ascorporate identity which has not previously been subjected to a great deal ofempirical research viz Van Mannen (1985) Case studies can also be usefulwith regard to theory building research in the field of corporate identity Oliver(1997) argued the importance of case study research albeit in relation tocorporate communication and stated that formal theories do develop from casestudies Oliver is supported in her view by others including Gill and Johnson(1991) and Yin (1984)

While some caution needs to be applied to the maxim found in VirgilrsquosAeneid ` ab uno disce omnesrsquorsquo (from one learn all) it would perhaps be equallyperverse to suggest the opposite that nothing is gained from the findings ofcase studies This is after all the modus operandi underpinning HarvardBusiness Schoolrsquos pedagogical approach

Deshpande (1983) notes that quantitative methods are more suitable fortheory testing than theory generation Vankatesh (1985 p 62) commented thatthe emphasis on empirical research data analysis and quantitative modellingoffers little potential for theory generation As such the author argues thatmarketing scholars should give a greater emphasis to qualitative and casestudy research

Eleventh explanation for the fog the paucity of empirical academic researchThree reasons are postulated by the writer as to why there has been a lack ofpublished empirical research

(1) Until recently the traditional lack of interest from all but a fewmanagement academics

(2) The difficulty in getting published in mainstream management journals

(3) The difficulty in undertaking research into corporate identity

Corporate identitybranding and

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269

Invariably business identity issues encompass issues that are of particularsensitivity and have fundamental importance to organisations and their seniormanagement Therefore researchers are likely to experience acute difficulty inresearching changes of business identity which probe into the quintessence ofan organisationrsquos existence and which can propel to the fore issues of greatsensitivity and political importance In addition new scholars are likely to havethe wherewithall to extrapolate data and disseminate their findings throughlearned journals

Although this traditionally has been the case it is difficult to say whetherthis is a cause or effect vis-aAacute -vis points (1) to (3) Perhaps all elements have madea contribution What is encouraging is that more scholars are embarking onresearch into this business identity and this is represented in the burgeoningnumber of candidates embarking upon doctoral research in corporate identitySignificant empirical research to date includes that by Balmer and Wilson(1998) relating to the BBC and a major UK high street bank Dutton andDukerichrsquos (1991) research on the New York port authority Elsbach andKramerrsquos (1996) research in US universities Gioia and Thomasrsquos (1996)investigation relating to universities and Van Rekomrsquos (1997) study focusing ona sector of the Dutch tourism industry

Twelfth explanation for the fog undue focus being accorded to the businessidentities of holding companiesparent organisationsThe literature reveals a bias towards the identities of holding or parentcompanies with insufficient attention being given to the identities ofsubsidiaries as well as to industrial identities alliances licensing arrangementsand to federal types of organisational structures An exception to the latter wasBalmerrsquos (1996) research which focused on BBC Scotland plusmn a subsidiary of theBBC The emphasis accorded to the identities of parent organisations hasperhaps resulted in a far too simplistic categorisation regarding therelationship between subsidiaries business units and the holding companyThis can be seen in Olinsrsquos (1978) highly influential tripartite categorisation ofbusiness identities which he calls monolithic endorsed and brandedAlthough this is a useful basic classification it disguises the fact that parent-subsidiary relationships are invariably more complicated as evinced byKammerer (1989) Furthermore insufficient attention is given to the industry-wide generic identities with the exception of Balmer and Wilkinson (1991) andWilkinson and Balmer (1996)

Upon reflection there are other identity types such as the identity ofalliances including the ` Starrsquorsquo ` One Worldrsquorsquo and ` Wingsrsquorsquo airline alliances theidentity of consortiums such as the European Airbus and the sharing of abrand name by several important companies Examples include the Hiltonbrand name which is shared by Hilton Hotel of the USA and Ladbrokes of theUK the Rolls-Royce brand licensed to car manufacturers VWBMW(Germany) by the UK aero-engines group Rolls-Royce the multiplicity ofidentities subsumed beneath the umbrella of the Virgin brand and the Co-op

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brand in the UK which serves as an umbrella brand for its labyrinthicorganisational structure The simplistic approach to organisational structureand strategy outlined above and the graphic design bias has in the authorrsquosopinion served to obfuscate business identityrsquos palpable affinity with corporatestrategy

Thirteenth explanation for the fog the emphasis assigned to Anglo-Saxonforms of business structuresFor the main the various literatures of business identity focus on Anglo-Saxonforms of business identity which is characterised by short termism and whereshareholders are accorded particular importance Little has appeared inEuropean journals with regard to non Anglo-Saxon forms of businessidentities As such it would appear that undue emphasis is accorded to verticalrather than to horizontal organisational structures

There is prima facie case to suggest that existing Anglo-Saxon theories ofbusiness identity are inappropriate to certain organisational structuresoperating in other countries due to cultural and economic reasons This canperhaps be most clearly seen in Japan and Korea The traditional Japanesekeiretsu structure which encompasses well known brand names such asMitsubishi Mitsui and Sumitomo differ from their Anglo-Saxon counterpartsin that they invariably include financial services companies that can providefinance to other members of the keiretsu Typically each keiretsu structurecontains

a commercial bank a trust bank and a life insurance company

each group contains a trading company which supports other membersof the group through the provision of such things as intelligence andproject management

there is cross-shareholdings of such groups which makes it difficult fora member of the group to be threatened with an aggressive take-over

in times of crisis members of the kieretsu group will provide supportfinancial or service to the beleaguered company and finally

there is a leading group of companies

The Korean chaebol structure is similar to the Japanese keiretsu structure withthe exception that first members of the founding family still in some instancesmanage the company and second the chaebol does not contain powerfulfinancial institutions or trading companies

What is clear from the above illustration is that Eastern businessrelationships are more complicated than those witnessed in many Anglo-Saxoncompanies that the visualbranding structure is invariably applied to a familyof more or less autonomous companies rather than to a single commercialconcern that the notion of internal communications takes on a particularlyimportant role vis-aAacute -vis communication between members of the kieretsuchaebol and that the external communication is more complicated This is

Corporate identitybranding and

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271

because each company of the group not only needs to support its own corporatecommunication efforts and reputation but also that of the group Here thegrouprsquos reputation will appear to act as a powerful control mechanismBalmerrsquos (1998) DEAR Model (Decisions are Evaluated Against theorganisationrsquosgrouprsquos Reputation) may be of use in this regard

It is important to recall that there are other forms of organisational structureoperating in the West other than Anglo-Saxon structures One approachprevalent in southern Europe and termed ` the Latin approachrsquorsquo is according toCova and Aubert-Gamet (1997) based on the view that marketing institutionsare less effective than proximate communities influencing peoplesrsquo behaviourCova coined the term ` societingrsquorsquo to encapsulate this approach A case in pointis the Rhine model of organisations which for obvious reasons is prevalent inthose nations bordering the Rhine Here there are flatter more community-focused structures

In Germany businesses are not dominated by big brand names In a 1989survey for Business Week Germany accounted for only 3 per cent of the worldrsquos1000 largest companies Germanyrsquos strength (and also that of Northern Italy)rests in its Mittelstand These are small to medium-sized family businesses InGermany the characteristics of such companies are

family owned

financiers or investors are not owners or controllers of the companies

the objective is long term survival and

stakeholdersrsquo groupings cannot so easily be broken down into internaland external stakeholders

Interestingly concern is shown to stakeholders of the future Table IV providesa summation of the Anglo-Saxon and the Rhine and Asian approaches

Fourteenth explanation of the fog weaknesses in early traditional marketingmodels of corporate identitycorporate image management and formationThe fourteenth weakness identified by the writer is the weaknesses in many ofthe more influential conceptual models of corporate imageidentityreputationformation (Abratt 1989 Dowling 1986 1993 and Kennedy 1977) It wouldappear that in some of these models the writers confuse corporate identity withcorporate image While the writer is critical of some of the models each of themmakes a valuable contribution to the debate on the area Certainly several ofthese models were at the cutting edge of the debate on the area at the time theywere published These four models will be examined in turn

Abrattrsquos model (1989)Abrattrsquos conceptual and prescriptive model has the objective of explaining thecorporate image management process and adopts an ` outside inrsquorsquo focus (animage reputation focus) rather than an inside out (an identity personalityfocus) Abrattrsquos model is most useful in that it attempts to integrate the

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problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

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273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

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challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

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275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

EuropeanJournal ofMarketing3534

276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

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286

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Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

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Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

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Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

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Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

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Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

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Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

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Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

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Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

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Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

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288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 15: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

EuropeanJournal ofMarketing3534

262

this clearly suggests it is a mix focusing on the management of businessidentity As such the mix takes cognisance of how an identity is revealed(through communications and design) but also assigns importance to marketconditions

Steidl and Emory (1997) have produced what is clearly a business identityrather than a business identity management mix As with Balmer and Soenen itwould appear that these two writers have been in part influenced by SinoNippon approaches to business identity and this is reflected in their choice ofterminology This Australian model is built around another trio of elementsthe mind (the philosophy and strategy through which the organisation securesthe support of customers) the spirit (the values of the organisation and theresponse this evokes amongst key stakeholder groups) and the body (the totalphysical infrastructure which is required to operate the business) Of note hereis the emphasis accorded to ` the bodyrsquorsquo which is not encompassed by the othermodels Rather surprisingly ` the bodyrsquorsquo does not encompass organisationalstructure Thus the author is of the view that a broader interpretationencompassing company structure would appear to be appropriate Theimportance of structure is similarly noted by Balmer and Gray (1999) Ind(1996) Morison (1997) and Stuart (1998a 1999b) The authorrsquos new identitymixes taking cognisance of the above comprises four elements and this isillustrated in Figure 2

Unlike the approaches used by Balmer and Soenen Schmidt and Steidl andEmory it has been decided to break with (at least from a British NorthAmerican and Commonwealth perspective) the practitioner legacy which usesthe human metaphor The four elements comprising this new mix are strategystructure communication and culture

The need to make a distinction between the variables comprising a businessidentity and the task elements to be considered with regard to the managementof a business identity mix is deserving of more attention by both scholars andpractitioners than has been the case to date

The implications of the authorrsquos new mix and those of many of other mixesis that researching a business identity involves using Gioiarsquos (1998 p 26)classification plusmn marrying the interpretive lens (with regard to understandingpersonnelrsquos various affinities to different identities) with the functionalist lens(with regard to the above parts of the mix) Consequently what is required is afurther breaking down of boundaries between research paradigms Thisprocess has implications not only for identity scholarship but also for identityconsultancy and management

Fifth explanation for the fog disagreement with regard to the objectives ofbusiness identity managementThe literature reveals a wide variety of purposes and objectives associated withbusiness identity management Balmerrsquos (1995) initial literature review

Corporate identitybranding and

marketing

263

revealed that corporate identity change programmes were variously used as avehicle to assist in

strategy formulation

culture-change

effective corporate communication

articulating a corporate strategy

articulatingchanging the organisationrsquos culture

acting as a platform for corporate communications and

ensuring that the organisationrsquos visual identity is fashionable

This is indicative of the multidisciplinary nature of the domain with the type ofidentity change reflecting the aspects of the organisationrsquos identity that requireattention

Significantly the effective management of a business identity has beenregarded as imbuing an organisation with a favourable image (cf Abratt 1989

Figure 2Balmerrsquos new identity

mix and identitymanagement mix

EuropeanJournal ofMarketing3534

264

Balmer 1995 Birkigt and Stadler 1986 Dowling 1994 Steidl and Emory 1997Tyrrell 1995 Van Rekom 1997) and more recently the acquisition of afavourable corporate reputation coupled with business survival andprofitability (Balmer and Stotvig 1997 Van Riel and Balmer 1997 Gray andBalmer 1998) The objective of acquiring a favourable corporate image hasfallen out of favour since the concept of the corporate image is fraught withdifficulty (Balmer 1998) The acquisition of a corporate brand on the otherhand has been identified as an objective of corporate identity management(Balmer 1999a) The ICIG statement reproduced in Appendix 1 cites a numberof possible objectives in relation to corporate identity management namely

fostering a sense of individuality

achieving differentiation in a competitive environment

providing disciplinary integration

providing a platform for coherent corporate communication

nurturing an image that is consistent with the organisationrsquos definingethos and character

nurturing understanding and commitment among stakeholders

attracting and retaining customers and employees

achieving strategic alliances and

gaining support of financial markets

Sixth explanation of the fog a traditional lack of dialogue between Anglophoneand non-Anglophone scholars and writersIn addition to the lack of dialogue between scholars from different disciplines anotable feature of the literature on business identity is how linguistic andcultural barriers have exerted an influence in the general understanding of thearea The most dramatic divide is between Anglophone and non-Anglophonenations For instance the literature on business identity emerging frommainland Europe appears to have developed quite independently from theNorth American literature and also from that of the UK and the old (British)Commonwealth and vice versa An example of this is the French school ofthought on corporate identity (Moingeon and Ramanantsoa 1997) TheNetherlands appears to be the exception to the rule owing to the linguisticdexterity of the peoples of that kingdom This can be seen in Van Rielrsquos (1995)influential text Principles of Corporate Communication which contains averitable cornucopia of international sources

Further afield questions of language have hindered our understanding ofSino and Japanese approaches to the area The current understanding ofbusiness identity in `Westernrsquorsquo nations might need to undertake a furtherradical reappraisal in order to accommodate what appear to be substantivedifferences of approach between ` Westernrsquorsquo and ` Asianrsquorsquo scholars of businessidentity Reference has already been made to the Mitsubishi mix According to

Corporate identitybranding and

marketing

265

Steidl and Emory (1997 pp 4-5) the Japanese approach to business identityadopts a radically different manner from that found in other nations They referto Motoo Nakanishi the chairman of one of Japanrsquos foremost businessconsultancies who states that Japanese business identity change programmesare characterised by their longevity in planning and implementation and thatthey are also dependent upon the CEO championing such a change In contrastNakanishi comments that US identity change programmes reflect the characterof the CEO to a greater extent than Asian approaches are similar to Japaneseprogrammes in their reliance on the CEO for their success are more project-orientated and are short-term in scope For their part Johansson and Hirano(1999) point out that in Asia there is a higher degree of parallelism betweenindividual and corporate objectives than in the West cf Balmer and Wilson(1998)

Seventh explanation for the fog the traditional lack of dialogue betweenresearchers from different disciplinesThe business identity literatures encompass distinctive and not so distinctiveschools of thought business communications and corporate communications(Cheney and Christensen 1999 Van Riel 1995) graphic design (Olins 1995Schmidt 1995) image and image-research (Brown 1998 Barich and Kotler1991 Worcester 19861997) marketing (Abratt 1989) organisationalbehaviour (Albert and Whetten 1985 Mael and Ashforth 1992) publicrelations (Grunig 1993) psychology (Bromley 1993) reputation (Fombrun1996) and strategy (Gray and Smeltzer 1985 Marwick and Fill 1997 Morison1997) A multi-disciplinary approach is adopted by Balmer (1995 1998) with astrong marketingcommunications emphasis

Despite the wealth of disciplines the degree of cross fertilisation of ideas andinsights from these literatures is comparatively slight It would appear thatbusiness identity issues have to a large degree matured along narrow verticaland disciplinary paradigms There has been little in the way of multi-disciplinary holistic development This may be placed in the context of thevarious business identity mixes articulated by Balmer and Soenen (1997)Birkigt and Stadler (1986) Schmidt (1995) and Steidl and Emory (1997) thatclearly demand that a broad multi-disciplinary approach be adopted

Mention may also be made of Whetten and Godfreyrsquos (1998) book Identity inOrganisations where academics from a number of disciplines discuss variousfacets of the business identity world However there is a paucity of materialemanating from British Commonwealth and European sources in this text andfor the main little from the marketing literature is marshalled This may becontrasted with the recent marketing literature where organisationalbehaviourists for instance have made a significant contribution

Eighth explanation for the fog the association with graphic designThe importance accorded to graphic design in the business identity literaturehas exacerbated the confusion surrounding the area and may in retrospect be

EuropeanJournal ofMarketing3534

266

seen to have exerted a deleterious influence regarding the conceptualisation ofidentity In the past this has led to the business identity domain being narrowlyconceived Some writers with backgrounds in marketing and communicationhave accorded symbolism the same importance as other business identityelements such as behaviour and communication viz Birkigt and Stadler (1986)The emphasis accorded to graphic design in business identity studies has beenperpetuated by many so-called corporate identity consultancies who are to allintents and purposes graphic design consultancies Research undertaken byMORI revealed that significant numbers of managers in UK and Europe stillequate UK-based corporate identity with graphic design (cf Schmidt 1995)Such has been the influence of graphic design that it has almost becomeaxiomatic that any change of business identity will have an attendant changeof visual identity The author has not to date discovered a case where acorporate identity consultancy advising a client during a business identitychange programme has not as a minimum tweaked the corporate logo This isa curious state of affairs and again raises some profound questions Wolff Olins(Europersquos largest corporate identity consultancy) in their ` Guide to corporateidentityrsquorsquo produced for the UK weekly magazine Marketing (1990 pp 19-24)made this very point

Because of corporate identityrsquos roots in design it will probably entail a new or revised logodesign

With the passing of ten years little appears to have altered For instance themajority of personnel employed by corporate identity consultancies tend tohave a background in graphic design The author is of the view that thegraphic design emphasis ascribed to business identity has thrown the area outof kilter This has had the unfortunate effect of stifling a broader moresophisticated and scholarly appreciation of business identity The distinctcorporate identity and organisational identity literatures although somewhatparvenu in relation to the visual identity literature have without doubt made aprofound contribution to the general understanding of business identity overrecent years What is required is for a more balanced appraisal to take place vis-aAacute -vis the power of visual identity and of graphic design in what is starting to beknown as the corporate identity mixbusiness identity mix What is not refutedby the author is that visual identification does unquestionably have powerVan Riel (1995) pointed out the wide impact of visual communication when hewrote that the average lorry is capable of delivering 7-9 million visualimpressions per year or about 60 per kilometre Empirical work undertaken byMelewar and Saunders (1998) revealed the benefit of standardised globalcorporate visual identity systems Furthermore the use of what is known as` the visual auditrsquorsquo (an examination of the organisationrsquos symbolism and brandstructure) has been shown to be a most effective initial means ofcomprehending an organisationrsquos cultures power-base strategies andcommunication As such the visual audit may provide useful insights into anorganisationrsquos identity

Corporate identitybranding and

marketing

267

However whereas a visual audit may reveal symptoms of inherent corporatemalaise many organisations fall into the trap of resorting to the initiation of anew visual identity as a means of correcting what can be profoundorganisational difficulties This may suggest a degree of naivety on the part ofsome senior managers and consultancies in failing to differentiate between thecauses and the symptoms (visual-identity) of a weak inconsistent negative orunwanted business identity As a result of this approach a number of authorstend to define corporate identity in prosaic terms namely ` what anorganisation isrsquorsquo While inadequate as a definition it does help to distance thearea from the narrow graphic design perspective

The emphasis on the visual has had another unfortunate effect in cloudingover the importance of the other senses of sound scent taste and touch Itwould be perverse to suggest that visually impaired customers employees orinvestors are unable to recognise differentiate between or form opinions oforganisations Upon reflection it becomes apparent that the non-visual sensescan be just as powerful in communicating the identity of a collective group Forexample the aural sense has a dominant role in the recognition of the identitiesof radio stations The aural sense also helps to differentiate one nation statefrom another via the use of languages and national anthems Important lessonscan in this regard be learned from ancient institutions such as the CatholicChurch which marshals all the senses to forge an impressive panoply ofsignals to support the Catholic Churchrsquos tenets and beliefs Although theCatholic Church has in recent years offered a somewhat flaccid version of itsidentity it is still possible to experience the effect of marshalling of all thesenses in an experience which is unique to the Catholic faith Thus at atraditional solemn celebration of the liturgy at Londonrsquos Brompton Oratorythe churchrsquos distinctiveness is communicated through among otherssymbolism (vestments church furnishings architecture posture of clergy andlaity) sound (Latin Gregorian chant and polyphony) smell (incense) touch(holy water) and taste (taking the sacrament)

Ninth explanation for the fog the effect of fashionVagaries in fashion in the use of concepts have played their part in thickeningthe fog surrounding the area A would-be scholar of business identity studieshas to show a good deal of perspicacity not only in accommodating the richvariety of concepts in use but also in exerting acute vigilance in theirassessment of what he or she understands by the concept The effects offashion can clearly be seen in the 1950s and 1960s when much attention wasfocused on the concept of the ` corporate imagersquorsquo Yet in the 1970s ` corporateidentityrsquorsquo grew in popularity and to some degree was used in preference to` corporate imagersquorsquo The corporate identityconcept was not only used as asurrogate for ` image managementrsquorsquo but has been viewed by some authors suchas Dowling (1994) as being fundamentally concerned with visual identityOthers saw the concept as embracing the distinct characteristics of anorganisation (Van Riel and Balmer 1997) In recent years reference to the

EuropeanJournal ofMarketing3534

268

` corporate brandrsquorsquo or what is sometimes termed ` service brandingrsquorsquo (cf Balmer1995 De Chernatony 1999) has replaced reference to ` corporate identityrsquorsquo Ofparticular note is corporate reputation which as a concept has been in theascendant over recent years and has almost eclipsed references to the corporateimage in the literature and in management parlance What is apparent is thattoo many practitioners and some scholars have tended to regard the emergenceof a new concept as a replacement to what has gone before rather thanconsidering each new concept for its potential in building on what preceded itand furthering therefore the general understanding of the creationmanagement and saliency of business identity

Tenth explanation for the fog the inappropriateness of the positivistic researchparadigm in the initial stage of theory generation vis-aAacute-vis identityUndue attention has been given to measuring the outcomes and benefits ofeffective business identity management Providing a firm foundation regardingthe nature andor driving forces of business identity will do much to lift the fogsurrounding the area In this regard the research paradigm of naturalism isperhaps more appropriate than positivism in explaining a phenomenon such ascorporate identity which has not previously been subjected to a great deal ofempirical research viz Van Mannen (1985) Case studies can also be usefulwith regard to theory building research in the field of corporate identity Oliver(1997) argued the importance of case study research albeit in relation tocorporate communication and stated that formal theories do develop from casestudies Oliver is supported in her view by others including Gill and Johnson(1991) and Yin (1984)

While some caution needs to be applied to the maxim found in VirgilrsquosAeneid ` ab uno disce omnesrsquorsquo (from one learn all) it would perhaps be equallyperverse to suggest the opposite that nothing is gained from the findings ofcase studies This is after all the modus operandi underpinning HarvardBusiness Schoolrsquos pedagogical approach

Deshpande (1983) notes that quantitative methods are more suitable fortheory testing than theory generation Vankatesh (1985 p 62) commented thatthe emphasis on empirical research data analysis and quantitative modellingoffers little potential for theory generation As such the author argues thatmarketing scholars should give a greater emphasis to qualitative and casestudy research

Eleventh explanation for the fog the paucity of empirical academic researchThree reasons are postulated by the writer as to why there has been a lack ofpublished empirical research

(1) Until recently the traditional lack of interest from all but a fewmanagement academics

(2) The difficulty in getting published in mainstream management journals

(3) The difficulty in undertaking research into corporate identity

Corporate identitybranding and

marketing

269

Invariably business identity issues encompass issues that are of particularsensitivity and have fundamental importance to organisations and their seniormanagement Therefore researchers are likely to experience acute difficulty inresearching changes of business identity which probe into the quintessence ofan organisationrsquos existence and which can propel to the fore issues of greatsensitivity and political importance In addition new scholars are likely to havethe wherewithall to extrapolate data and disseminate their findings throughlearned journals

Although this traditionally has been the case it is difficult to say whetherthis is a cause or effect vis-aAacute -vis points (1) to (3) Perhaps all elements have madea contribution What is encouraging is that more scholars are embarking onresearch into this business identity and this is represented in the burgeoningnumber of candidates embarking upon doctoral research in corporate identitySignificant empirical research to date includes that by Balmer and Wilson(1998) relating to the BBC and a major UK high street bank Dutton andDukerichrsquos (1991) research on the New York port authority Elsbach andKramerrsquos (1996) research in US universities Gioia and Thomasrsquos (1996)investigation relating to universities and Van Rekomrsquos (1997) study focusing ona sector of the Dutch tourism industry

Twelfth explanation for the fog undue focus being accorded to the businessidentities of holding companiesparent organisationsThe literature reveals a bias towards the identities of holding or parentcompanies with insufficient attention being given to the identities ofsubsidiaries as well as to industrial identities alliances licensing arrangementsand to federal types of organisational structures An exception to the latter wasBalmerrsquos (1996) research which focused on BBC Scotland plusmn a subsidiary of theBBC The emphasis accorded to the identities of parent organisations hasperhaps resulted in a far too simplistic categorisation regarding therelationship between subsidiaries business units and the holding companyThis can be seen in Olinsrsquos (1978) highly influential tripartite categorisation ofbusiness identities which he calls monolithic endorsed and brandedAlthough this is a useful basic classification it disguises the fact that parent-subsidiary relationships are invariably more complicated as evinced byKammerer (1989) Furthermore insufficient attention is given to the industry-wide generic identities with the exception of Balmer and Wilkinson (1991) andWilkinson and Balmer (1996)

Upon reflection there are other identity types such as the identity ofalliances including the ` Starrsquorsquo ` One Worldrsquorsquo and ` Wingsrsquorsquo airline alliances theidentity of consortiums such as the European Airbus and the sharing of abrand name by several important companies Examples include the Hiltonbrand name which is shared by Hilton Hotel of the USA and Ladbrokes of theUK the Rolls-Royce brand licensed to car manufacturers VWBMW(Germany) by the UK aero-engines group Rolls-Royce the multiplicity ofidentities subsumed beneath the umbrella of the Virgin brand and the Co-op

EuropeanJournal ofMarketing3534

270

brand in the UK which serves as an umbrella brand for its labyrinthicorganisational structure The simplistic approach to organisational structureand strategy outlined above and the graphic design bias has in the authorrsquosopinion served to obfuscate business identityrsquos palpable affinity with corporatestrategy

Thirteenth explanation for the fog the emphasis assigned to Anglo-Saxonforms of business structuresFor the main the various literatures of business identity focus on Anglo-Saxonforms of business identity which is characterised by short termism and whereshareholders are accorded particular importance Little has appeared inEuropean journals with regard to non Anglo-Saxon forms of businessidentities As such it would appear that undue emphasis is accorded to verticalrather than to horizontal organisational structures

There is prima facie case to suggest that existing Anglo-Saxon theories ofbusiness identity are inappropriate to certain organisational structuresoperating in other countries due to cultural and economic reasons This canperhaps be most clearly seen in Japan and Korea The traditional Japanesekeiretsu structure which encompasses well known brand names such asMitsubishi Mitsui and Sumitomo differ from their Anglo-Saxon counterpartsin that they invariably include financial services companies that can providefinance to other members of the keiretsu Typically each keiretsu structurecontains

a commercial bank a trust bank and a life insurance company

each group contains a trading company which supports other membersof the group through the provision of such things as intelligence andproject management

there is cross-shareholdings of such groups which makes it difficult fora member of the group to be threatened with an aggressive take-over

in times of crisis members of the kieretsu group will provide supportfinancial or service to the beleaguered company and finally

there is a leading group of companies

The Korean chaebol structure is similar to the Japanese keiretsu structure withthe exception that first members of the founding family still in some instancesmanage the company and second the chaebol does not contain powerfulfinancial institutions or trading companies

What is clear from the above illustration is that Eastern businessrelationships are more complicated than those witnessed in many Anglo-Saxoncompanies that the visualbranding structure is invariably applied to a familyof more or less autonomous companies rather than to a single commercialconcern that the notion of internal communications takes on a particularlyimportant role vis-aAacute -vis communication between members of the kieretsuchaebol and that the external communication is more complicated This is

Corporate identitybranding and

marketing

271

because each company of the group not only needs to support its own corporatecommunication efforts and reputation but also that of the group Here thegrouprsquos reputation will appear to act as a powerful control mechanismBalmerrsquos (1998) DEAR Model (Decisions are Evaluated Against theorganisationrsquosgrouprsquos Reputation) may be of use in this regard

It is important to recall that there are other forms of organisational structureoperating in the West other than Anglo-Saxon structures One approachprevalent in southern Europe and termed ` the Latin approachrsquorsquo is according toCova and Aubert-Gamet (1997) based on the view that marketing institutionsare less effective than proximate communities influencing peoplesrsquo behaviourCova coined the term ` societingrsquorsquo to encapsulate this approach A case in pointis the Rhine model of organisations which for obvious reasons is prevalent inthose nations bordering the Rhine Here there are flatter more community-focused structures

In Germany businesses are not dominated by big brand names In a 1989survey for Business Week Germany accounted for only 3 per cent of the worldrsquos1000 largest companies Germanyrsquos strength (and also that of Northern Italy)rests in its Mittelstand These are small to medium-sized family businesses InGermany the characteristics of such companies are

family owned

financiers or investors are not owners or controllers of the companies

the objective is long term survival and

stakeholdersrsquo groupings cannot so easily be broken down into internaland external stakeholders

Interestingly concern is shown to stakeholders of the future Table IV providesa summation of the Anglo-Saxon and the Rhine and Asian approaches

Fourteenth explanation of the fog weaknesses in early traditional marketingmodels of corporate identitycorporate image management and formationThe fourteenth weakness identified by the writer is the weaknesses in many ofthe more influential conceptual models of corporate imageidentityreputationformation (Abratt 1989 Dowling 1986 1993 and Kennedy 1977) It wouldappear that in some of these models the writers confuse corporate identity withcorporate image While the writer is critical of some of the models each of themmakes a valuable contribution to the debate on the area Certainly several ofthese models were at the cutting edge of the debate on the area at the time theywere published These four models will be examined in turn

Abrattrsquos model (1989)Abrattrsquos conceptual and prescriptive model has the objective of explaining thecorporate image management process and adopts an ` outside inrsquorsquo focus (animage reputation focus) rather than an inside out (an identity personalityfocus) Abrattrsquos model is most useful in that it attempts to integrate the

EuropeanJournal ofMarketing3534

272

problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

marketing

273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

EuropeanJournal ofMarketing3534

274

challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

marketing

275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

EuropeanJournal ofMarketing3534

276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

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Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

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Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

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Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

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Review Winter pp 94-104

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Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

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Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

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Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

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291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 16: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

Corporate identitybranding and

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263

revealed that corporate identity change programmes were variously used as avehicle to assist in

strategy formulation

culture-change

effective corporate communication

articulating a corporate strategy

articulatingchanging the organisationrsquos culture

acting as a platform for corporate communications and

ensuring that the organisationrsquos visual identity is fashionable

This is indicative of the multidisciplinary nature of the domain with the type ofidentity change reflecting the aspects of the organisationrsquos identity that requireattention

Significantly the effective management of a business identity has beenregarded as imbuing an organisation with a favourable image (cf Abratt 1989

Figure 2Balmerrsquos new identity

mix and identitymanagement mix

EuropeanJournal ofMarketing3534

264

Balmer 1995 Birkigt and Stadler 1986 Dowling 1994 Steidl and Emory 1997Tyrrell 1995 Van Rekom 1997) and more recently the acquisition of afavourable corporate reputation coupled with business survival andprofitability (Balmer and Stotvig 1997 Van Riel and Balmer 1997 Gray andBalmer 1998) The objective of acquiring a favourable corporate image hasfallen out of favour since the concept of the corporate image is fraught withdifficulty (Balmer 1998) The acquisition of a corporate brand on the otherhand has been identified as an objective of corporate identity management(Balmer 1999a) The ICIG statement reproduced in Appendix 1 cites a numberof possible objectives in relation to corporate identity management namely

fostering a sense of individuality

achieving differentiation in a competitive environment

providing disciplinary integration

providing a platform for coherent corporate communication

nurturing an image that is consistent with the organisationrsquos definingethos and character

nurturing understanding and commitment among stakeholders

attracting and retaining customers and employees

achieving strategic alliances and

gaining support of financial markets

Sixth explanation of the fog a traditional lack of dialogue between Anglophoneand non-Anglophone scholars and writersIn addition to the lack of dialogue between scholars from different disciplines anotable feature of the literature on business identity is how linguistic andcultural barriers have exerted an influence in the general understanding of thearea The most dramatic divide is between Anglophone and non-Anglophonenations For instance the literature on business identity emerging frommainland Europe appears to have developed quite independently from theNorth American literature and also from that of the UK and the old (British)Commonwealth and vice versa An example of this is the French school ofthought on corporate identity (Moingeon and Ramanantsoa 1997) TheNetherlands appears to be the exception to the rule owing to the linguisticdexterity of the peoples of that kingdom This can be seen in Van Rielrsquos (1995)influential text Principles of Corporate Communication which contains averitable cornucopia of international sources

Further afield questions of language have hindered our understanding ofSino and Japanese approaches to the area The current understanding ofbusiness identity in `Westernrsquorsquo nations might need to undertake a furtherradical reappraisal in order to accommodate what appear to be substantivedifferences of approach between ` Westernrsquorsquo and ` Asianrsquorsquo scholars of businessidentity Reference has already been made to the Mitsubishi mix According to

Corporate identitybranding and

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265

Steidl and Emory (1997 pp 4-5) the Japanese approach to business identityadopts a radically different manner from that found in other nations They referto Motoo Nakanishi the chairman of one of Japanrsquos foremost businessconsultancies who states that Japanese business identity change programmesare characterised by their longevity in planning and implementation and thatthey are also dependent upon the CEO championing such a change In contrastNakanishi comments that US identity change programmes reflect the characterof the CEO to a greater extent than Asian approaches are similar to Japaneseprogrammes in their reliance on the CEO for their success are more project-orientated and are short-term in scope For their part Johansson and Hirano(1999) point out that in Asia there is a higher degree of parallelism betweenindividual and corporate objectives than in the West cf Balmer and Wilson(1998)

Seventh explanation for the fog the traditional lack of dialogue betweenresearchers from different disciplinesThe business identity literatures encompass distinctive and not so distinctiveschools of thought business communications and corporate communications(Cheney and Christensen 1999 Van Riel 1995) graphic design (Olins 1995Schmidt 1995) image and image-research (Brown 1998 Barich and Kotler1991 Worcester 19861997) marketing (Abratt 1989) organisationalbehaviour (Albert and Whetten 1985 Mael and Ashforth 1992) publicrelations (Grunig 1993) psychology (Bromley 1993) reputation (Fombrun1996) and strategy (Gray and Smeltzer 1985 Marwick and Fill 1997 Morison1997) A multi-disciplinary approach is adopted by Balmer (1995 1998) with astrong marketingcommunications emphasis

Despite the wealth of disciplines the degree of cross fertilisation of ideas andinsights from these literatures is comparatively slight It would appear thatbusiness identity issues have to a large degree matured along narrow verticaland disciplinary paradigms There has been little in the way of multi-disciplinary holistic development This may be placed in the context of thevarious business identity mixes articulated by Balmer and Soenen (1997)Birkigt and Stadler (1986) Schmidt (1995) and Steidl and Emory (1997) thatclearly demand that a broad multi-disciplinary approach be adopted

Mention may also be made of Whetten and Godfreyrsquos (1998) book Identity inOrganisations where academics from a number of disciplines discuss variousfacets of the business identity world However there is a paucity of materialemanating from British Commonwealth and European sources in this text andfor the main little from the marketing literature is marshalled This may becontrasted with the recent marketing literature where organisationalbehaviourists for instance have made a significant contribution

Eighth explanation for the fog the association with graphic designThe importance accorded to graphic design in the business identity literaturehas exacerbated the confusion surrounding the area and may in retrospect be

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266

seen to have exerted a deleterious influence regarding the conceptualisation ofidentity In the past this has led to the business identity domain being narrowlyconceived Some writers with backgrounds in marketing and communicationhave accorded symbolism the same importance as other business identityelements such as behaviour and communication viz Birkigt and Stadler (1986)The emphasis accorded to graphic design in business identity studies has beenperpetuated by many so-called corporate identity consultancies who are to allintents and purposes graphic design consultancies Research undertaken byMORI revealed that significant numbers of managers in UK and Europe stillequate UK-based corporate identity with graphic design (cf Schmidt 1995)Such has been the influence of graphic design that it has almost becomeaxiomatic that any change of business identity will have an attendant changeof visual identity The author has not to date discovered a case where acorporate identity consultancy advising a client during a business identitychange programme has not as a minimum tweaked the corporate logo This isa curious state of affairs and again raises some profound questions Wolff Olins(Europersquos largest corporate identity consultancy) in their ` Guide to corporateidentityrsquorsquo produced for the UK weekly magazine Marketing (1990 pp 19-24)made this very point

Because of corporate identityrsquos roots in design it will probably entail a new or revised logodesign

With the passing of ten years little appears to have altered For instance themajority of personnel employed by corporate identity consultancies tend tohave a background in graphic design The author is of the view that thegraphic design emphasis ascribed to business identity has thrown the area outof kilter This has had the unfortunate effect of stifling a broader moresophisticated and scholarly appreciation of business identity The distinctcorporate identity and organisational identity literatures although somewhatparvenu in relation to the visual identity literature have without doubt made aprofound contribution to the general understanding of business identity overrecent years What is required is for a more balanced appraisal to take place vis-aAacute -vis the power of visual identity and of graphic design in what is starting to beknown as the corporate identity mixbusiness identity mix What is not refutedby the author is that visual identification does unquestionably have powerVan Riel (1995) pointed out the wide impact of visual communication when hewrote that the average lorry is capable of delivering 7-9 million visualimpressions per year or about 60 per kilometre Empirical work undertaken byMelewar and Saunders (1998) revealed the benefit of standardised globalcorporate visual identity systems Furthermore the use of what is known as` the visual auditrsquorsquo (an examination of the organisationrsquos symbolism and brandstructure) has been shown to be a most effective initial means ofcomprehending an organisationrsquos cultures power-base strategies andcommunication As such the visual audit may provide useful insights into anorganisationrsquos identity

Corporate identitybranding and

marketing

267

However whereas a visual audit may reveal symptoms of inherent corporatemalaise many organisations fall into the trap of resorting to the initiation of anew visual identity as a means of correcting what can be profoundorganisational difficulties This may suggest a degree of naivety on the part ofsome senior managers and consultancies in failing to differentiate between thecauses and the symptoms (visual-identity) of a weak inconsistent negative orunwanted business identity As a result of this approach a number of authorstend to define corporate identity in prosaic terms namely ` what anorganisation isrsquorsquo While inadequate as a definition it does help to distance thearea from the narrow graphic design perspective

The emphasis on the visual has had another unfortunate effect in cloudingover the importance of the other senses of sound scent taste and touch Itwould be perverse to suggest that visually impaired customers employees orinvestors are unable to recognise differentiate between or form opinions oforganisations Upon reflection it becomes apparent that the non-visual sensescan be just as powerful in communicating the identity of a collective group Forexample the aural sense has a dominant role in the recognition of the identitiesof radio stations The aural sense also helps to differentiate one nation statefrom another via the use of languages and national anthems Important lessonscan in this regard be learned from ancient institutions such as the CatholicChurch which marshals all the senses to forge an impressive panoply ofsignals to support the Catholic Churchrsquos tenets and beliefs Although theCatholic Church has in recent years offered a somewhat flaccid version of itsidentity it is still possible to experience the effect of marshalling of all thesenses in an experience which is unique to the Catholic faith Thus at atraditional solemn celebration of the liturgy at Londonrsquos Brompton Oratorythe churchrsquos distinctiveness is communicated through among otherssymbolism (vestments church furnishings architecture posture of clergy andlaity) sound (Latin Gregorian chant and polyphony) smell (incense) touch(holy water) and taste (taking the sacrament)

Ninth explanation for the fog the effect of fashionVagaries in fashion in the use of concepts have played their part in thickeningthe fog surrounding the area A would-be scholar of business identity studieshas to show a good deal of perspicacity not only in accommodating the richvariety of concepts in use but also in exerting acute vigilance in theirassessment of what he or she understands by the concept The effects offashion can clearly be seen in the 1950s and 1960s when much attention wasfocused on the concept of the ` corporate imagersquorsquo Yet in the 1970s ` corporateidentityrsquorsquo grew in popularity and to some degree was used in preference to` corporate imagersquorsquo The corporate identityconcept was not only used as asurrogate for ` image managementrsquorsquo but has been viewed by some authors suchas Dowling (1994) as being fundamentally concerned with visual identityOthers saw the concept as embracing the distinct characteristics of anorganisation (Van Riel and Balmer 1997) In recent years reference to the

EuropeanJournal ofMarketing3534

268

` corporate brandrsquorsquo or what is sometimes termed ` service brandingrsquorsquo (cf Balmer1995 De Chernatony 1999) has replaced reference to ` corporate identityrsquorsquo Ofparticular note is corporate reputation which as a concept has been in theascendant over recent years and has almost eclipsed references to the corporateimage in the literature and in management parlance What is apparent is thattoo many practitioners and some scholars have tended to regard the emergenceof a new concept as a replacement to what has gone before rather thanconsidering each new concept for its potential in building on what preceded itand furthering therefore the general understanding of the creationmanagement and saliency of business identity

Tenth explanation for the fog the inappropriateness of the positivistic researchparadigm in the initial stage of theory generation vis-aAacute-vis identityUndue attention has been given to measuring the outcomes and benefits ofeffective business identity management Providing a firm foundation regardingthe nature andor driving forces of business identity will do much to lift the fogsurrounding the area In this regard the research paradigm of naturalism isperhaps more appropriate than positivism in explaining a phenomenon such ascorporate identity which has not previously been subjected to a great deal ofempirical research viz Van Mannen (1985) Case studies can also be usefulwith regard to theory building research in the field of corporate identity Oliver(1997) argued the importance of case study research albeit in relation tocorporate communication and stated that formal theories do develop from casestudies Oliver is supported in her view by others including Gill and Johnson(1991) and Yin (1984)

While some caution needs to be applied to the maxim found in VirgilrsquosAeneid ` ab uno disce omnesrsquorsquo (from one learn all) it would perhaps be equallyperverse to suggest the opposite that nothing is gained from the findings ofcase studies This is after all the modus operandi underpinning HarvardBusiness Schoolrsquos pedagogical approach

Deshpande (1983) notes that quantitative methods are more suitable fortheory testing than theory generation Vankatesh (1985 p 62) commented thatthe emphasis on empirical research data analysis and quantitative modellingoffers little potential for theory generation As such the author argues thatmarketing scholars should give a greater emphasis to qualitative and casestudy research

Eleventh explanation for the fog the paucity of empirical academic researchThree reasons are postulated by the writer as to why there has been a lack ofpublished empirical research

(1) Until recently the traditional lack of interest from all but a fewmanagement academics

(2) The difficulty in getting published in mainstream management journals

(3) The difficulty in undertaking research into corporate identity

Corporate identitybranding and

marketing

269

Invariably business identity issues encompass issues that are of particularsensitivity and have fundamental importance to organisations and their seniormanagement Therefore researchers are likely to experience acute difficulty inresearching changes of business identity which probe into the quintessence ofan organisationrsquos existence and which can propel to the fore issues of greatsensitivity and political importance In addition new scholars are likely to havethe wherewithall to extrapolate data and disseminate their findings throughlearned journals

Although this traditionally has been the case it is difficult to say whetherthis is a cause or effect vis-aAacute -vis points (1) to (3) Perhaps all elements have madea contribution What is encouraging is that more scholars are embarking onresearch into this business identity and this is represented in the burgeoningnumber of candidates embarking upon doctoral research in corporate identitySignificant empirical research to date includes that by Balmer and Wilson(1998) relating to the BBC and a major UK high street bank Dutton andDukerichrsquos (1991) research on the New York port authority Elsbach andKramerrsquos (1996) research in US universities Gioia and Thomasrsquos (1996)investigation relating to universities and Van Rekomrsquos (1997) study focusing ona sector of the Dutch tourism industry

Twelfth explanation for the fog undue focus being accorded to the businessidentities of holding companiesparent organisationsThe literature reveals a bias towards the identities of holding or parentcompanies with insufficient attention being given to the identities ofsubsidiaries as well as to industrial identities alliances licensing arrangementsand to federal types of organisational structures An exception to the latter wasBalmerrsquos (1996) research which focused on BBC Scotland plusmn a subsidiary of theBBC The emphasis accorded to the identities of parent organisations hasperhaps resulted in a far too simplistic categorisation regarding therelationship between subsidiaries business units and the holding companyThis can be seen in Olinsrsquos (1978) highly influential tripartite categorisation ofbusiness identities which he calls monolithic endorsed and brandedAlthough this is a useful basic classification it disguises the fact that parent-subsidiary relationships are invariably more complicated as evinced byKammerer (1989) Furthermore insufficient attention is given to the industry-wide generic identities with the exception of Balmer and Wilkinson (1991) andWilkinson and Balmer (1996)

Upon reflection there are other identity types such as the identity ofalliances including the ` Starrsquorsquo ` One Worldrsquorsquo and ` Wingsrsquorsquo airline alliances theidentity of consortiums such as the European Airbus and the sharing of abrand name by several important companies Examples include the Hiltonbrand name which is shared by Hilton Hotel of the USA and Ladbrokes of theUK the Rolls-Royce brand licensed to car manufacturers VWBMW(Germany) by the UK aero-engines group Rolls-Royce the multiplicity ofidentities subsumed beneath the umbrella of the Virgin brand and the Co-op

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270

brand in the UK which serves as an umbrella brand for its labyrinthicorganisational structure The simplistic approach to organisational structureand strategy outlined above and the graphic design bias has in the authorrsquosopinion served to obfuscate business identityrsquos palpable affinity with corporatestrategy

Thirteenth explanation for the fog the emphasis assigned to Anglo-Saxonforms of business structuresFor the main the various literatures of business identity focus on Anglo-Saxonforms of business identity which is characterised by short termism and whereshareholders are accorded particular importance Little has appeared inEuropean journals with regard to non Anglo-Saxon forms of businessidentities As such it would appear that undue emphasis is accorded to verticalrather than to horizontal organisational structures

There is prima facie case to suggest that existing Anglo-Saxon theories ofbusiness identity are inappropriate to certain organisational structuresoperating in other countries due to cultural and economic reasons This canperhaps be most clearly seen in Japan and Korea The traditional Japanesekeiretsu structure which encompasses well known brand names such asMitsubishi Mitsui and Sumitomo differ from their Anglo-Saxon counterpartsin that they invariably include financial services companies that can providefinance to other members of the keiretsu Typically each keiretsu structurecontains

a commercial bank a trust bank and a life insurance company

each group contains a trading company which supports other membersof the group through the provision of such things as intelligence andproject management

there is cross-shareholdings of such groups which makes it difficult fora member of the group to be threatened with an aggressive take-over

in times of crisis members of the kieretsu group will provide supportfinancial or service to the beleaguered company and finally

there is a leading group of companies

The Korean chaebol structure is similar to the Japanese keiretsu structure withthe exception that first members of the founding family still in some instancesmanage the company and second the chaebol does not contain powerfulfinancial institutions or trading companies

What is clear from the above illustration is that Eastern businessrelationships are more complicated than those witnessed in many Anglo-Saxoncompanies that the visualbranding structure is invariably applied to a familyof more or less autonomous companies rather than to a single commercialconcern that the notion of internal communications takes on a particularlyimportant role vis-aAacute -vis communication between members of the kieretsuchaebol and that the external communication is more complicated This is

Corporate identitybranding and

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271

because each company of the group not only needs to support its own corporatecommunication efforts and reputation but also that of the group Here thegrouprsquos reputation will appear to act as a powerful control mechanismBalmerrsquos (1998) DEAR Model (Decisions are Evaluated Against theorganisationrsquosgrouprsquos Reputation) may be of use in this regard

It is important to recall that there are other forms of organisational structureoperating in the West other than Anglo-Saxon structures One approachprevalent in southern Europe and termed ` the Latin approachrsquorsquo is according toCova and Aubert-Gamet (1997) based on the view that marketing institutionsare less effective than proximate communities influencing peoplesrsquo behaviourCova coined the term ` societingrsquorsquo to encapsulate this approach A case in pointis the Rhine model of organisations which for obvious reasons is prevalent inthose nations bordering the Rhine Here there are flatter more community-focused structures

In Germany businesses are not dominated by big brand names In a 1989survey for Business Week Germany accounted for only 3 per cent of the worldrsquos1000 largest companies Germanyrsquos strength (and also that of Northern Italy)rests in its Mittelstand These are small to medium-sized family businesses InGermany the characteristics of such companies are

family owned

financiers or investors are not owners or controllers of the companies

the objective is long term survival and

stakeholdersrsquo groupings cannot so easily be broken down into internaland external stakeholders

Interestingly concern is shown to stakeholders of the future Table IV providesa summation of the Anglo-Saxon and the Rhine and Asian approaches

Fourteenth explanation of the fog weaknesses in early traditional marketingmodels of corporate identitycorporate image management and formationThe fourteenth weakness identified by the writer is the weaknesses in many ofthe more influential conceptual models of corporate imageidentityreputationformation (Abratt 1989 Dowling 1986 1993 and Kennedy 1977) It wouldappear that in some of these models the writers confuse corporate identity withcorporate image While the writer is critical of some of the models each of themmakes a valuable contribution to the debate on the area Certainly several ofthese models were at the cutting edge of the debate on the area at the time theywere published These four models will be examined in turn

Abrattrsquos model (1989)Abrattrsquos conceptual and prescriptive model has the objective of explaining thecorporate image management process and adopts an ` outside inrsquorsquo focus (animage reputation focus) rather than an inside out (an identity personalityfocus) Abrattrsquos model is most useful in that it attempts to integrate the

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272

problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

marketing

273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

EuropeanJournal ofMarketing3534

274

challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

marketing

275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

EuropeanJournal ofMarketing3534

276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

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hth

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onof

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ance

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quir

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thin

kin

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isat

ional

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rns

Splusmn

How

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ST

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OL

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Rgro

ups

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net

wor

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(a)

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ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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Aberg L (1990) ` Theoretical model and praxis of total communicationsrsquorsquo International PublicRelations Review Vol 13 No 2

Abratt R (1989) ` A new approach to the corporate image management processrsquorsquo Journal of MarketingManagement Vol 5 No 1 pp 63-76

Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

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marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

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288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 17: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

EuropeanJournal ofMarketing3534

264

Balmer 1995 Birkigt and Stadler 1986 Dowling 1994 Steidl and Emory 1997Tyrrell 1995 Van Rekom 1997) and more recently the acquisition of afavourable corporate reputation coupled with business survival andprofitability (Balmer and Stotvig 1997 Van Riel and Balmer 1997 Gray andBalmer 1998) The objective of acquiring a favourable corporate image hasfallen out of favour since the concept of the corporate image is fraught withdifficulty (Balmer 1998) The acquisition of a corporate brand on the otherhand has been identified as an objective of corporate identity management(Balmer 1999a) The ICIG statement reproduced in Appendix 1 cites a numberof possible objectives in relation to corporate identity management namely

fostering a sense of individuality

achieving differentiation in a competitive environment

providing disciplinary integration

providing a platform for coherent corporate communication

nurturing an image that is consistent with the organisationrsquos definingethos and character

nurturing understanding and commitment among stakeholders

attracting and retaining customers and employees

achieving strategic alliances and

gaining support of financial markets

Sixth explanation of the fog a traditional lack of dialogue between Anglophoneand non-Anglophone scholars and writersIn addition to the lack of dialogue between scholars from different disciplines anotable feature of the literature on business identity is how linguistic andcultural barriers have exerted an influence in the general understanding of thearea The most dramatic divide is between Anglophone and non-Anglophonenations For instance the literature on business identity emerging frommainland Europe appears to have developed quite independently from theNorth American literature and also from that of the UK and the old (British)Commonwealth and vice versa An example of this is the French school ofthought on corporate identity (Moingeon and Ramanantsoa 1997) TheNetherlands appears to be the exception to the rule owing to the linguisticdexterity of the peoples of that kingdom This can be seen in Van Rielrsquos (1995)influential text Principles of Corporate Communication which contains averitable cornucopia of international sources

Further afield questions of language have hindered our understanding ofSino and Japanese approaches to the area The current understanding ofbusiness identity in `Westernrsquorsquo nations might need to undertake a furtherradical reappraisal in order to accommodate what appear to be substantivedifferences of approach between ` Westernrsquorsquo and ` Asianrsquorsquo scholars of businessidentity Reference has already been made to the Mitsubishi mix According to

Corporate identitybranding and

marketing

265

Steidl and Emory (1997 pp 4-5) the Japanese approach to business identityadopts a radically different manner from that found in other nations They referto Motoo Nakanishi the chairman of one of Japanrsquos foremost businessconsultancies who states that Japanese business identity change programmesare characterised by their longevity in planning and implementation and thatthey are also dependent upon the CEO championing such a change In contrastNakanishi comments that US identity change programmes reflect the characterof the CEO to a greater extent than Asian approaches are similar to Japaneseprogrammes in their reliance on the CEO for their success are more project-orientated and are short-term in scope For their part Johansson and Hirano(1999) point out that in Asia there is a higher degree of parallelism betweenindividual and corporate objectives than in the West cf Balmer and Wilson(1998)

Seventh explanation for the fog the traditional lack of dialogue betweenresearchers from different disciplinesThe business identity literatures encompass distinctive and not so distinctiveschools of thought business communications and corporate communications(Cheney and Christensen 1999 Van Riel 1995) graphic design (Olins 1995Schmidt 1995) image and image-research (Brown 1998 Barich and Kotler1991 Worcester 19861997) marketing (Abratt 1989) organisationalbehaviour (Albert and Whetten 1985 Mael and Ashforth 1992) publicrelations (Grunig 1993) psychology (Bromley 1993) reputation (Fombrun1996) and strategy (Gray and Smeltzer 1985 Marwick and Fill 1997 Morison1997) A multi-disciplinary approach is adopted by Balmer (1995 1998) with astrong marketingcommunications emphasis

Despite the wealth of disciplines the degree of cross fertilisation of ideas andinsights from these literatures is comparatively slight It would appear thatbusiness identity issues have to a large degree matured along narrow verticaland disciplinary paradigms There has been little in the way of multi-disciplinary holistic development This may be placed in the context of thevarious business identity mixes articulated by Balmer and Soenen (1997)Birkigt and Stadler (1986) Schmidt (1995) and Steidl and Emory (1997) thatclearly demand that a broad multi-disciplinary approach be adopted

Mention may also be made of Whetten and Godfreyrsquos (1998) book Identity inOrganisations where academics from a number of disciplines discuss variousfacets of the business identity world However there is a paucity of materialemanating from British Commonwealth and European sources in this text andfor the main little from the marketing literature is marshalled This may becontrasted with the recent marketing literature where organisationalbehaviourists for instance have made a significant contribution

Eighth explanation for the fog the association with graphic designThe importance accorded to graphic design in the business identity literaturehas exacerbated the confusion surrounding the area and may in retrospect be

EuropeanJournal ofMarketing3534

266

seen to have exerted a deleterious influence regarding the conceptualisation ofidentity In the past this has led to the business identity domain being narrowlyconceived Some writers with backgrounds in marketing and communicationhave accorded symbolism the same importance as other business identityelements such as behaviour and communication viz Birkigt and Stadler (1986)The emphasis accorded to graphic design in business identity studies has beenperpetuated by many so-called corporate identity consultancies who are to allintents and purposes graphic design consultancies Research undertaken byMORI revealed that significant numbers of managers in UK and Europe stillequate UK-based corporate identity with graphic design (cf Schmidt 1995)Such has been the influence of graphic design that it has almost becomeaxiomatic that any change of business identity will have an attendant changeof visual identity The author has not to date discovered a case where acorporate identity consultancy advising a client during a business identitychange programme has not as a minimum tweaked the corporate logo This isa curious state of affairs and again raises some profound questions Wolff Olins(Europersquos largest corporate identity consultancy) in their ` Guide to corporateidentityrsquorsquo produced for the UK weekly magazine Marketing (1990 pp 19-24)made this very point

Because of corporate identityrsquos roots in design it will probably entail a new or revised logodesign

With the passing of ten years little appears to have altered For instance themajority of personnel employed by corporate identity consultancies tend tohave a background in graphic design The author is of the view that thegraphic design emphasis ascribed to business identity has thrown the area outof kilter This has had the unfortunate effect of stifling a broader moresophisticated and scholarly appreciation of business identity The distinctcorporate identity and organisational identity literatures although somewhatparvenu in relation to the visual identity literature have without doubt made aprofound contribution to the general understanding of business identity overrecent years What is required is for a more balanced appraisal to take place vis-aAacute -vis the power of visual identity and of graphic design in what is starting to beknown as the corporate identity mixbusiness identity mix What is not refutedby the author is that visual identification does unquestionably have powerVan Riel (1995) pointed out the wide impact of visual communication when hewrote that the average lorry is capable of delivering 7-9 million visualimpressions per year or about 60 per kilometre Empirical work undertaken byMelewar and Saunders (1998) revealed the benefit of standardised globalcorporate visual identity systems Furthermore the use of what is known as` the visual auditrsquorsquo (an examination of the organisationrsquos symbolism and brandstructure) has been shown to be a most effective initial means ofcomprehending an organisationrsquos cultures power-base strategies andcommunication As such the visual audit may provide useful insights into anorganisationrsquos identity

Corporate identitybranding and

marketing

267

However whereas a visual audit may reveal symptoms of inherent corporatemalaise many organisations fall into the trap of resorting to the initiation of anew visual identity as a means of correcting what can be profoundorganisational difficulties This may suggest a degree of naivety on the part ofsome senior managers and consultancies in failing to differentiate between thecauses and the symptoms (visual-identity) of a weak inconsistent negative orunwanted business identity As a result of this approach a number of authorstend to define corporate identity in prosaic terms namely ` what anorganisation isrsquorsquo While inadequate as a definition it does help to distance thearea from the narrow graphic design perspective

The emphasis on the visual has had another unfortunate effect in cloudingover the importance of the other senses of sound scent taste and touch Itwould be perverse to suggest that visually impaired customers employees orinvestors are unable to recognise differentiate between or form opinions oforganisations Upon reflection it becomes apparent that the non-visual sensescan be just as powerful in communicating the identity of a collective group Forexample the aural sense has a dominant role in the recognition of the identitiesof radio stations The aural sense also helps to differentiate one nation statefrom another via the use of languages and national anthems Important lessonscan in this regard be learned from ancient institutions such as the CatholicChurch which marshals all the senses to forge an impressive panoply ofsignals to support the Catholic Churchrsquos tenets and beliefs Although theCatholic Church has in recent years offered a somewhat flaccid version of itsidentity it is still possible to experience the effect of marshalling of all thesenses in an experience which is unique to the Catholic faith Thus at atraditional solemn celebration of the liturgy at Londonrsquos Brompton Oratorythe churchrsquos distinctiveness is communicated through among otherssymbolism (vestments church furnishings architecture posture of clergy andlaity) sound (Latin Gregorian chant and polyphony) smell (incense) touch(holy water) and taste (taking the sacrament)

Ninth explanation for the fog the effect of fashionVagaries in fashion in the use of concepts have played their part in thickeningthe fog surrounding the area A would-be scholar of business identity studieshas to show a good deal of perspicacity not only in accommodating the richvariety of concepts in use but also in exerting acute vigilance in theirassessment of what he or she understands by the concept The effects offashion can clearly be seen in the 1950s and 1960s when much attention wasfocused on the concept of the ` corporate imagersquorsquo Yet in the 1970s ` corporateidentityrsquorsquo grew in popularity and to some degree was used in preference to` corporate imagersquorsquo The corporate identityconcept was not only used as asurrogate for ` image managementrsquorsquo but has been viewed by some authors suchas Dowling (1994) as being fundamentally concerned with visual identityOthers saw the concept as embracing the distinct characteristics of anorganisation (Van Riel and Balmer 1997) In recent years reference to the

EuropeanJournal ofMarketing3534

268

` corporate brandrsquorsquo or what is sometimes termed ` service brandingrsquorsquo (cf Balmer1995 De Chernatony 1999) has replaced reference to ` corporate identityrsquorsquo Ofparticular note is corporate reputation which as a concept has been in theascendant over recent years and has almost eclipsed references to the corporateimage in the literature and in management parlance What is apparent is thattoo many practitioners and some scholars have tended to regard the emergenceof a new concept as a replacement to what has gone before rather thanconsidering each new concept for its potential in building on what preceded itand furthering therefore the general understanding of the creationmanagement and saliency of business identity

Tenth explanation for the fog the inappropriateness of the positivistic researchparadigm in the initial stage of theory generation vis-aAacute-vis identityUndue attention has been given to measuring the outcomes and benefits ofeffective business identity management Providing a firm foundation regardingthe nature andor driving forces of business identity will do much to lift the fogsurrounding the area In this regard the research paradigm of naturalism isperhaps more appropriate than positivism in explaining a phenomenon such ascorporate identity which has not previously been subjected to a great deal ofempirical research viz Van Mannen (1985) Case studies can also be usefulwith regard to theory building research in the field of corporate identity Oliver(1997) argued the importance of case study research albeit in relation tocorporate communication and stated that formal theories do develop from casestudies Oliver is supported in her view by others including Gill and Johnson(1991) and Yin (1984)

While some caution needs to be applied to the maxim found in VirgilrsquosAeneid ` ab uno disce omnesrsquorsquo (from one learn all) it would perhaps be equallyperverse to suggest the opposite that nothing is gained from the findings ofcase studies This is after all the modus operandi underpinning HarvardBusiness Schoolrsquos pedagogical approach

Deshpande (1983) notes that quantitative methods are more suitable fortheory testing than theory generation Vankatesh (1985 p 62) commented thatthe emphasis on empirical research data analysis and quantitative modellingoffers little potential for theory generation As such the author argues thatmarketing scholars should give a greater emphasis to qualitative and casestudy research

Eleventh explanation for the fog the paucity of empirical academic researchThree reasons are postulated by the writer as to why there has been a lack ofpublished empirical research

(1) Until recently the traditional lack of interest from all but a fewmanagement academics

(2) The difficulty in getting published in mainstream management journals

(3) The difficulty in undertaking research into corporate identity

Corporate identitybranding and

marketing

269

Invariably business identity issues encompass issues that are of particularsensitivity and have fundamental importance to organisations and their seniormanagement Therefore researchers are likely to experience acute difficulty inresearching changes of business identity which probe into the quintessence ofan organisationrsquos existence and which can propel to the fore issues of greatsensitivity and political importance In addition new scholars are likely to havethe wherewithall to extrapolate data and disseminate their findings throughlearned journals

Although this traditionally has been the case it is difficult to say whetherthis is a cause or effect vis-aAacute -vis points (1) to (3) Perhaps all elements have madea contribution What is encouraging is that more scholars are embarking onresearch into this business identity and this is represented in the burgeoningnumber of candidates embarking upon doctoral research in corporate identitySignificant empirical research to date includes that by Balmer and Wilson(1998) relating to the BBC and a major UK high street bank Dutton andDukerichrsquos (1991) research on the New York port authority Elsbach andKramerrsquos (1996) research in US universities Gioia and Thomasrsquos (1996)investigation relating to universities and Van Rekomrsquos (1997) study focusing ona sector of the Dutch tourism industry

Twelfth explanation for the fog undue focus being accorded to the businessidentities of holding companiesparent organisationsThe literature reveals a bias towards the identities of holding or parentcompanies with insufficient attention being given to the identities ofsubsidiaries as well as to industrial identities alliances licensing arrangementsand to federal types of organisational structures An exception to the latter wasBalmerrsquos (1996) research which focused on BBC Scotland plusmn a subsidiary of theBBC The emphasis accorded to the identities of parent organisations hasperhaps resulted in a far too simplistic categorisation regarding therelationship between subsidiaries business units and the holding companyThis can be seen in Olinsrsquos (1978) highly influential tripartite categorisation ofbusiness identities which he calls monolithic endorsed and brandedAlthough this is a useful basic classification it disguises the fact that parent-subsidiary relationships are invariably more complicated as evinced byKammerer (1989) Furthermore insufficient attention is given to the industry-wide generic identities with the exception of Balmer and Wilkinson (1991) andWilkinson and Balmer (1996)

Upon reflection there are other identity types such as the identity ofalliances including the ` Starrsquorsquo ` One Worldrsquorsquo and ` Wingsrsquorsquo airline alliances theidentity of consortiums such as the European Airbus and the sharing of abrand name by several important companies Examples include the Hiltonbrand name which is shared by Hilton Hotel of the USA and Ladbrokes of theUK the Rolls-Royce brand licensed to car manufacturers VWBMW(Germany) by the UK aero-engines group Rolls-Royce the multiplicity ofidentities subsumed beneath the umbrella of the Virgin brand and the Co-op

EuropeanJournal ofMarketing3534

270

brand in the UK which serves as an umbrella brand for its labyrinthicorganisational structure The simplistic approach to organisational structureand strategy outlined above and the graphic design bias has in the authorrsquosopinion served to obfuscate business identityrsquos palpable affinity with corporatestrategy

Thirteenth explanation for the fog the emphasis assigned to Anglo-Saxonforms of business structuresFor the main the various literatures of business identity focus on Anglo-Saxonforms of business identity which is characterised by short termism and whereshareholders are accorded particular importance Little has appeared inEuropean journals with regard to non Anglo-Saxon forms of businessidentities As such it would appear that undue emphasis is accorded to verticalrather than to horizontal organisational structures

There is prima facie case to suggest that existing Anglo-Saxon theories ofbusiness identity are inappropriate to certain organisational structuresoperating in other countries due to cultural and economic reasons This canperhaps be most clearly seen in Japan and Korea The traditional Japanesekeiretsu structure which encompasses well known brand names such asMitsubishi Mitsui and Sumitomo differ from their Anglo-Saxon counterpartsin that they invariably include financial services companies that can providefinance to other members of the keiretsu Typically each keiretsu structurecontains

a commercial bank a trust bank and a life insurance company

each group contains a trading company which supports other membersof the group through the provision of such things as intelligence andproject management

there is cross-shareholdings of such groups which makes it difficult fora member of the group to be threatened with an aggressive take-over

in times of crisis members of the kieretsu group will provide supportfinancial or service to the beleaguered company and finally

there is a leading group of companies

The Korean chaebol structure is similar to the Japanese keiretsu structure withthe exception that first members of the founding family still in some instancesmanage the company and second the chaebol does not contain powerfulfinancial institutions or trading companies

What is clear from the above illustration is that Eastern businessrelationships are more complicated than those witnessed in many Anglo-Saxoncompanies that the visualbranding structure is invariably applied to a familyof more or less autonomous companies rather than to a single commercialconcern that the notion of internal communications takes on a particularlyimportant role vis-aAacute -vis communication between members of the kieretsuchaebol and that the external communication is more complicated This is

Corporate identitybranding and

marketing

271

because each company of the group not only needs to support its own corporatecommunication efforts and reputation but also that of the group Here thegrouprsquos reputation will appear to act as a powerful control mechanismBalmerrsquos (1998) DEAR Model (Decisions are Evaluated Against theorganisationrsquosgrouprsquos Reputation) may be of use in this regard

It is important to recall that there are other forms of organisational structureoperating in the West other than Anglo-Saxon structures One approachprevalent in southern Europe and termed ` the Latin approachrsquorsquo is according toCova and Aubert-Gamet (1997) based on the view that marketing institutionsare less effective than proximate communities influencing peoplesrsquo behaviourCova coined the term ` societingrsquorsquo to encapsulate this approach A case in pointis the Rhine model of organisations which for obvious reasons is prevalent inthose nations bordering the Rhine Here there are flatter more community-focused structures

In Germany businesses are not dominated by big brand names In a 1989survey for Business Week Germany accounted for only 3 per cent of the worldrsquos1000 largest companies Germanyrsquos strength (and also that of Northern Italy)rests in its Mittelstand These are small to medium-sized family businesses InGermany the characteristics of such companies are

family owned

financiers or investors are not owners or controllers of the companies

the objective is long term survival and

stakeholdersrsquo groupings cannot so easily be broken down into internaland external stakeholders

Interestingly concern is shown to stakeholders of the future Table IV providesa summation of the Anglo-Saxon and the Rhine and Asian approaches

Fourteenth explanation of the fog weaknesses in early traditional marketingmodels of corporate identitycorporate image management and formationThe fourteenth weakness identified by the writer is the weaknesses in many ofthe more influential conceptual models of corporate imageidentityreputationformation (Abratt 1989 Dowling 1986 1993 and Kennedy 1977) It wouldappear that in some of these models the writers confuse corporate identity withcorporate image While the writer is critical of some of the models each of themmakes a valuable contribution to the debate on the area Certainly several ofthese models were at the cutting edge of the debate on the area at the time theywere published These four models will be examined in turn

Abrattrsquos model (1989)Abrattrsquos conceptual and prescriptive model has the objective of explaining thecorporate image management process and adopts an ` outside inrsquorsquo focus (animage reputation focus) rather than an inside out (an identity personalityfocus) Abrattrsquos model is most useful in that it attempts to integrate the

EuropeanJournal ofMarketing3534

272

problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

marketing

273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

EuropeanJournal ofMarketing3534

274

challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

marketing

275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

EuropeanJournal ofMarketing3534

276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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286

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Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

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Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

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Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

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Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

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Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

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Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

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Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

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291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 18: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

Corporate identitybranding and

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265

Steidl and Emory (1997 pp 4-5) the Japanese approach to business identityadopts a radically different manner from that found in other nations They referto Motoo Nakanishi the chairman of one of Japanrsquos foremost businessconsultancies who states that Japanese business identity change programmesare characterised by their longevity in planning and implementation and thatthey are also dependent upon the CEO championing such a change In contrastNakanishi comments that US identity change programmes reflect the characterof the CEO to a greater extent than Asian approaches are similar to Japaneseprogrammes in their reliance on the CEO for their success are more project-orientated and are short-term in scope For their part Johansson and Hirano(1999) point out that in Asia there is a higher degree of parallelism betweenindividual and corporate objectives than in the West cf Balmer and Wilson(1998)

Seventh explanation for the fog the traditional lack of dialogue betweenresearchers from different disciplinesThe business identity literatures encompass distinctive and not so distinctiveschools of thought business communications and corporate communications(Cheney and Christensen 1999 Van Riel 1995) graphic design (Olins 1995Schmidt 1995) image and image-research (Brown 1998 Barich and Kotler1991 Worcester 19861997) marketing (Abratt 1989) organisationalbehaviour (Albert and Whetten 1985 Mael and Ashforth 1992) publicrelations (Grunig 1993) psychology (Bromley 1993) reputation (Fombrun1996) and strategy (Gray and Smeltzer 1985 Marwick and Fill 1997 Morison1997) A multi-disciplinary approach is adopted by Balmer (1995 1998) with astrong marketingcommunications emphasis

Despite the wealth of disciplines the degree of cross fertilisation of ideas andinsights from these literatures is comparatively slight It would appear thatbusiness identity issues have to a large degree matured along narrow verticaland disciplinary paradigms There has been little in the way of multi-disciplinary holistic development This may be placed in the context of thevarious business identity mixes articulated by Balmer and Soenen (1997)Birkigt and Stadler (1986) Schmidt (1995) and Steidl and Emory (1997) thatclearly demand that a broad multi-disciplinary approach be adopted

Mention may also be made of Whetten and Godfreyrsquos (1998) book Identity inOrganisations where academics from a number of disciplines discuss variousfacets of the business identity world However there is a paucity of materialemanating from British Commonwealth and European sources in this text andfor the main little from the marketing literature is marshalled This may becontrasted with the recent marketing literature where organisationalbehaviourists for instance have made a significant contribution

Eighth explanation for the fog the association with graphic designThe importance accorded to graphic design in the business identity literaturehas exacerbated the confusion surrounding the area and may in retrospect be

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266

seen to have exerted a deleterious influence regarding the conceptualisation ofidentity In the past this has led to the business identity domain being narrowlyconceived Some writers with backgrounds in marketing and communicationhave accorded symbolism the same importance as other business identityelements such as behaviour and communication viz Birkigt and Stadler (1986)The emphasis accorded to graphic design in business identity studies has beenperpetuated by many so-called corporate identity consultancies who are to allintents and purposes graphic design consultancies Research undertaken byMORI revealed that significant numbers of managers in UK and Europe stillequate UK-based corporate identity with graphic design (cf Schmidt 1995)Such has been the influence of graphic design that it has almost becomeaxiomatic that any change of business identity will have an attendant changeof visual identity The author has not to date discovered a case where acorporate identity consultancy advising a client during a business identitychange programme has not as a minimum tweaked the corporate logo This isa curious state of affairs and again raises some profound questions Wolff Olins(Europersquos largest corporate identity consultancy) in their ` Guide to corporateidentityrsquorsquo produced for the UK weekly magazine Marketing (1990 pp 19-24)made this very point

Because of corporate identityrsquos roots in design it will probably entail a new or revised logodesign

With the passing of ten years little appears to have altered For instance themajority of personnel employed by corporate identity consultancies tend tohave a background in graphic design The author is of the view that thegraphic design emphasis ascribed to business identity has thrown the area outof kilter This has had the unfortunate effect of stifling a broader moresophisticated and scholarly appreciation of business identity The distinctcorporate identity and organisational identity literatures although somewhatparvenu in relation to the visual identity literature have without doubt made aprofound contribution to the general understanding of business identity overrecent years What is required is for a more balanced appraisal to take place vis-aAacute -vis the power of visual identity and of graphic design in what is starting to beknown as the corporate identity mixbusiness identity mix What is not refutedby the author is that visual identification does unquestionably have powerVan Riel (1995) pointed out the wide impact of visual communication when hewrote that the average lorry is capable of delivering 7-9 million visualimpressions per year or about 60 per kilometre Empirical work undertaken byMelewar and Saunders (1998) revealed the benefit of standardised globalcorporate visual identity systems Furthermore the use of what is known as` the visual auditrsquorsquo (an examination of the organisationrsquos symbolism and brandstructure) has been shown to be a most effective initial means ofcomprehending an organisationrsquos cultures power-base strategies andcommunication As such the visual audit may provide useful insights into anorganisationrsquos identity

Corporate identitybranding and

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267

However whereas a visual audit may reveal symptoms of inherent corporatemalaise many organisations fall into the trap of resorting to the initiation of anew visual identity as a means of correcting what can be profoundorganisational difficulties This may suggest a degree of naivety on the part ofsome senior managers and consultancies in failing to differentiate between thecauses and the symptoms (visual-identity) of a weak inconsistent negative orunwanted business identity As a result of this approach a number of authorstend to define corporate identity in prosaic terms namely ` what anorganisation isrsquorsquo While inadequate as a definition it does help to distance thearea from the narrow graphic design perspective

The emphasis on the visual has had another unfortunate effect in cloudingover the importance of the other senses of sound scent taste and touch Itwould be perverse to suggest that visually impaired customers employees orinvestors are unable to recognise differentiate between or form opinions oforganisations Upon reflection it becomes apparent that the non-visual sensescan be just as powerful in communicating the identity of a collective group Forexample the aural sense has a dominant role in the recognition of the identitiesof radio stations The aural sense also helps to differentiate one nation statefrom another via the use of languages and national anthems Important lessonscan in this regard be learned from ancient institutions such as the CatholicChurch which marshals all the senses to forge an impressive panoply ofsignals to support the Catholic Churchrsquos tenets and beliefs Although theCatholic Church has in recent years offered a somewhat flaccid version of itsidentity it is still possible to experience the effect of marshalling of all thesenses in an experience which is unique to the Catholic faith Thus at atraditional solemn celebration of the liturgy at Londonrsquos Brompton Oratorythe churchrsquos distinctiveness is communicated through among otherssymbolism (vestments church furnishings architecture posture of clergy andlaity) sound (Latin Gregorian chant and polyphony) smell (incense) touch(holy water) and taste (taking the sacrament)

Ninth explanation for the fog the effect of fashionVagaries in fashion in the use of concepts have played their part in thickeningthe fog surrounding the area A would-be scholar of business identity studieshas to show a good deal of perspicacity not only in accommodating the richvariety of concepts in use but also in exerting acute vigilance in theirassessment of what he or she understands by the concept The effects offashion can clearly be seen in the 1950s and 1960s when much attention wasfocused on the concept of the ` corporate imagersquorsquo Yet in the 1970s ` corporateidentityrsquorsquo grew in popularity and to some degree was used in preference to` corporate imagersquorsquo The corporate identityconcept was not only used as asurrogate for ` image managementrsquorsquo but has been viewed by some authors suchas Dowling (1994) as being fundamentally concerned with visual identityOthers saw the concept as embracing the distinct characteristics of anorganisation (Van Riel and Balmer 1997) In recent years reference to the

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268

` corporate brandrsquorsquo or what is sometimes termed ` service brandingrsquorsquo (cf Balmer1995 De Chernatony 1999) has replaced reference to ` corporate identityrsquorsquo Ofparticular note is corporate reputation which as a concept has been in theascendant over recent years and has almost eclipsed references to the corporateimage in the literature and in management parlance What is apparent is thattoo many practitioners and some scholars have tended to regard the emergenceof a new concept as a replacement to what has gone before rather thanconsidering each new concept for its potential in building on what preceded itand furthering therefore the general understanding of the creationmanagement and saliency of business identity

Tenth explanation for the fog the inappropriateness of the positivistic researchparadigm in the initial stage of theory generation vis-aAacute-vis identityUndue attention has been given to measuring the outcomes and benefits ofeffective business identity management Providing a firm foundation regardingthe nature andor driving forces of business identity will do much to lift the fogsurrounding the area In this regard the research paradigm of naturalism isperhaps more appropriate than positivism in explaining a phenomenon such ascorporate identity which has not previously been subjected to a great deal ofempirical research viz Van Mannen (1985) Case studies can also be usefulwith regard to theory building research in the field of corporate identity Oliver(1997) argued the importance of case study research albeit in relation tocorporate communication and stated that formal theories do develop from casestudies Oliver is supported in her view by others including Gill and Johnson(1991) and Yin (1984)

While some caution needs to be applied to the maxim found in VirgilrsquosAeneid ` ab uno disce omnesrsquorsquo (from one learn all) it would perhaps be equallyperverse to suggest the opposite that nothing is gained from the findings ofcase studies This is after all the modus operandi underpinning HarvardBusiness Schoolrsquos pedagogical approach

Deshpande (1983) notes that quantitative methods are more suitable fortheory testing than theory generation Vankatesh (1985 p 62) commented thatthe emphasis on empirical research data analysis and quantitative modellingoffers little potential for theory generation As such the author argues thatmarketing scholars should give a greater emphasis to qualitative and casestudy research

Eleventh explanation for the fog the paucity of empirical academic researchThree reasons are postulated by the writer as to why there has been a lack ofpublished empirical research

(1) Until recently the traditional lack of interest from all but a fewmanagement academics

(2) The difficulty in getting published in mainstream management journals

(3) The difficulty in undertaking research into corporate identity

Corporate identitybranding and

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269

Invariably business identity issues encompass issues that are of particularsensitivity and have fundamental importance to organisations and their seniormanagement Therefore researchers are likely to experience acute difficulty inresearching changes of business identity which probe into the quintessence ofan organisationrsquos existence and which can propel to the fore issues of greatsensitivity and political importance In addition new scholars are likely to havethe wherewithall to extrapolate data and disseminate their findings throughlearned journals

Although this traditionally has been the case it is difficult to say whetherthis is a cause or effect vis-aAacute -vis points (1) to (3) Perhaps all elements have madea contribution What is encouraging is that more scholars are embarking onresearch into this business identity and this is represented in the burgeoningnumber of candidates embarking upon doctoral research in corporate identitySignificant empirical research to date includes that by Balmer and Wilson(1998) relating to the BBC and a major UK high street bank Dutton andDukerichrsquos (1991) research on the New York port authority Elsbach andKramerrsquos (1996) research in US universities Gioia and Thomasrsquos (1996)investigation relating to universities and Van Rekomrsquos (1997) study focusing ona sector of the Dutch tourism industry

Twelfth explanation for the fog undue focus being accorded to the businessidentities of holding companiesparent organisationsThe literature reveals a bias towards the identities of holding or parentcompanies with insufficient attention being given to the identities ofsubsidiaries as well as to industrial identities alliances licensing arrangementsand to federal types of organisational structures An exception to the latter wasBalmerrsquos (1996) research which focused on BBC Scotland plusmn a subsidiary of theBBC The emphasis accorded to the identities of parent organisations hasperhaps resulted in a far too simplistic categorisation regarding therelationship between subsidiaries business units and the holding companyThis can be seen in Olinsrsquos (1978) highly influential tripartite categorisation ofbusiness identities which he calls monolithic endorsed and brandedAlthough this is a useful basic classification it disguises the fact that parent-subsidiary relationships are invariably more complicated as evinced byKammerer (1989) Furthermore insufficient attention is given to the industry-wide generic identities with the exception of Balmer and Wilkinson (1991) andWilkinson and Balmer (1996)

Upon reflection there are other identity types such as the identity ofalliances including the ` Starrsquorsquo ` One Worldrsquorsquo and ` Wingsrsquorsquo airline alliances theidentity of consortiums such as the European Airbus and the sharing of abrand name by several important companies Examples include the Hiltonbrand name which is shared by Hilton Hotel of the USA and Ladbrokes of theUK the Rolls-Royce brand licensed to car manufacturers VWBMW(Germany) by the UK aero-engines group Rolls-Royce the multiplicity ofidentities subsumed beneath the umbrella of the Virgin brand and the Co-op

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270

brand in the UK which serves as an umbrella brand for its labyrinthicorganisational structure The simplistic approach to organisational structureand strategy outlined above and the graphic design bias has in the authorrsquosopinion served to obfuscate business identityrsquos palpable affinity with corporatestrategy

Thirteenth explanation for the fog the emphasis assigned to Anglo-Saxonforms of business structuresFor the main the various literatures of business identity focus on Anglo-Saxonforms of business identity which is characterised by short termism and whereshareholders are accorded particular importance Little has appeared inEuropean journals with regard to non Anglo-Saxon forms of businessidentities As such it would appear that undue emphasis is accorded to verticalrather than to horizontal organisational structures

There is prima facie case to suggest that existing Anglo-Saxon theories ofbusiness identity are inappropriate to certain organisational structuresoperating in other countries due to cultural and economic reasons This canperhaps be most clearly seen in Japan and Korea The traditional Japanesekeiretsu structure which encompasses well known brand names such asMitsubishi Mitsui and Sumitomo differ from their Anglo-Saxon counterpartsin that they invariably include financial services companies that can providefinance to other members of the keiretsu Typically each keiretsu structurecontains

a commercial bank a trust bank and a life insurance company

each group contains a trading company which supports other membersof the group through the provision of such things as intelligence andproject management

there is cross-shareholdings of such groups which makes it difficult fora member of the group to be threatened with an aggressive take-over

in times of crisis members of the kieretsu group will provide supportfinancial or service to the beleaguered company and finally

there is a leading group of companies

The Korean chaebol structure is similar to the Japanese keiretsu structure withthe exception that first members of the founding family still in some instancesmanage the company and second the chaebol does not contain powerfulfinancial institutions or trading companies

What is clear from the above illustration is that Eastern businessrelationships are more complicated than those witnessed in many Anglo-Saxoncompanies that the visualbranding structure is invariably applied to a familyof more or less autonomous companies rather than to a single commercialconcern that the notion of internal communications takes on a particularlyimportant role vis-aAacute -vis communication between members of the kieretsuchaebol and that the external communication is more complicated This is

Corporate identitybranding and

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271

because each company of the group not only needs to support its own corporatecommunication efforts and reputation but also that of the group Here thegrouprsquos reputation will appear to act as a powerful control mechanismBalmerrsquos (1998) DEAR Model (Decisions are Evaluated Against theorganisationrsquosgrouprsquos Reputation) may be of use in this regard

It is important to recall that there are other forms of organisational structureoperating in the West other than Anglo-Saxon structures One approachprevalent in southern Europe and termed ` the Latin approachrsquorsquo is according toCova and Aubert-Gamet (1997) based on the view that marketing institutionsare less effective than proximate communities influencing peoplesrsquo behaviourCova coined the term ` societingrsquorsquo to encapsulate this approach A case in pointis the Rhine model of organisations which for obvious reasons is prevalent inthose nations bordering the Rhine Here there are flatter more community-focused structures

In Germany businesses are not dominated by big brand names In a 1989survey for Business Week Germany accounted for only 3 per cent of the worldrsquos1000 largest companies Germanyrsquos strength (and also that of Northern Italy)rests in its Mittelstand These are small to medium-sized family businesses InGermany the characteristics of such companies are

family owned

financiers or investors are not owners or controllers of the companies

the objective is long term survival and

stakeholdersrsquo groupings cannot so easily be broken down into internaland external stakeholders

Interestingly concern is shown to stakeholders of the future Table IV providesa summation of the Anglo-Saxon and the Rhine and Asian approaches

Fourteenth explanation of the fog weaknesses in early traditional marketingmodels of corporate identitycorporate image management and formationThe fourteenth weakness identified by the writer is the weaknesses in many ofthe more influential conceptual models of corporate imageidentityreputationformation (Abratt 1989 Dowling 1986 1993 and Kennedy 1977) It wouldappear that in some of these models the writers confuse corporate identity withcorporate image While the writer is critical of some of the models each of themmakes a valuable contribution to the debate on the area Certainly several ofthese models were at the cutting edge of the debate on the area at the time theywere published These four models will be examined in turn

Abrattrsquos model (1989)Abrattrsquos conceptual and prescriptive model has the objective of explaining thecorporate image management process and adopts an ` outside inrsquorsquo focus (animage reputation focus) rather than an inside out (an identity personalityfocus) Abrattrsquos model is most useful in that it attempts to integrate the

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272

problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

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273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

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274

challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

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275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

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276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

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277

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eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

References

Aaker DA (1996) Building Strong Brands The Free Press New York NY

Aberg L (1990) ` Theoretical model and praxis of total communicationsrsquorsquo International PublicRelations Review Vol 13 No 2

Abratt R (1989) ` A new approach to the corporate image management processrsquorsquo Journal of MarketingManagement Vol 5 No 1 pp 63-76

Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

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Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

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Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

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Review Winter pp 94-104

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Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

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Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

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marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

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Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

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Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

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Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

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Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

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Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

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McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

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Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

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Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

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Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 19: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

EuropeanJournal ofMarketing3534

266

seen to have exerted a deleterious influence regarding the conceptualisation ofidentity In the past this has led to the business identity domain being narrowlyconceived Some writers with backgrounds in marketing and communicationhave accorded symbolism the same importance as other business identityelements such as behaviour and communication viz Birkigt and Stadler (1986)The emphasis accorded to graphic design in business identity studies has beenperpetuated by many so-called corporate identity consultancies who are to allintents and purposes graphic design consultancies Research undertaken byMORI revealed that significant numbers of managers in UK and Europe stillequate UK-based corporate identity with graphic design (cf Schmidt 1995)Such has been the influence of graphic design that it has almost becomeaxiomatic that any change of business identity will have an attendant changeof visual identity The author has not to date discovered a case where acorporate identity consultancy advising a client during a business identitychange programme has not as a minimum tweaked the corporate logo This isa curious state of affairs and again raises some profound questions Wolff Olins(Europersquos largest corporate identity consultancy) in their ` Guide to corporateidentityrsquorsquo produced for the UK weekly magazine Marketing (1990 pp 19-24)made this very point

Because of corporate identityrsquos roots in design it will probably entail a new or revised logodesign

With the passing of ten years little appears to have altered For instance themajority of personnel employed by corporate identity consultancies tend tohave a background in graphic design The author is of the view that thegraphic design emphasis ascribed to business identity has thrown the area outof kilter This has had the unfortunate effect of stifling a broader moresophisticated and scholarly appreciation of business identity The distinctcorporate identity and organisational identity literatures although somewhatparvenu in relation to the visual identity literature have without doubt made aprofound contribution to the general understanding of business identity overrecent years What is required is for a more balanced appraisal to take place vis-aAacute -vis the power of visual identity and of graphic design in what is starting to beknown as the corporate identity mixbusiness identity mix What is not refutedby the author is that visual identification does unquestionably have powerVan Riel (1995) pointed out the wide impact of visual communication when hewrote that the average lorry is capable of delivering 7-9 million visualimpressions per year or about 60 per kilometre Empirical work undertaken byMelewar and Saunders (1998) revealed the benefit of standardised globalcorporate visual identity systems Furthermore the use of what is known as` the visual auditrsquorsquo (an examination of the organisationrsquos symbolism and brandstructure) has been shown to be a most effective initial means ofcomprehending an organisationrsquos cultures power-base strategies andcommunication As such the visual audit may provide useful insights into anorganisationrsquos identity

Corporate identitybranding and

marketing

267

However whereas a visual audit may reveal symptoms of inherent corporatemalaise many organisations fall into the trap of resorting to the initiation of anew visual identity as a means of correcting what can be profoundorganisational difficulties This may suggest a degree of naivety on the part ofsome senior managers and consultancies in failing to differentiate between thecauses and the symptoms (visual-identity) of a weak inconsistent negative orunwanted business identity As a result of this approach a number of authorstend to define corporate identity in prosaic terms namely ` what anorganisation isrsquorsquo While inadequate as a definition it does help to distance thearea from the narrow graphic design perspective

The emphasis on the visual has had another unfortunate effect in cloudingover the importance of the other senses of sound scent taste and touch Itwould be perverse to suggest that visually impaired customers employees orinvestors are unable to recognise differentiate between or form opinions oforganisations Upon reflection it becomes apparent that the non-visual sensescan be just as powerful in communicating the identity of a collective group Forexample the aural sense has a dominant role in the recognition of the identitiesof radio stations The aural sense also helps to differentiate one nation statefrom another via the use of languages and national anthems Important lessonscan in this regard be learned from ancient institutions such as the CatholicChurch which marshals all the senses to forge an impressive panoply ofsignals to support the Catholic Churchrsquos tenets and beliefs Although theCatholic Church has in recent years offered a somewhat flaccid version of itsidentity it is still possible to experience the effect of marshalling of all thesenses in an experience which is unique to the Catholic faith Thus at atraditional solemn celebration of the liturgy at Londonrsquos Brompton Oratorythe churchrsquos distinctiveness is communicated through among otherssymbolism (vestments church furnishings architecture posture of clergy andlaity) sound (Latin Gregorian chant and polyphony) smell (incense) touch(holy water) and taste (taking the sacrament)

Ninth explanation for the fog the effect of fashionVagaries in fashion in the use of concepts have played their part in thickeningthe fog surrounding the area A would-be scholar of business identity studieshas to show a good deal of perspicacity not only in accommodating the richvariety of concepts in use but also in exerting acute vigilance in theirassessment of what he or she understands by the concept The effects offashion can clearly be seen in the 1950s and 1960s when much attention wasfocused on the concept of the ` corporate imagersquorsquo Yet in the 1970s ` corporateidentityrsquorsquo grew in popularity and to some degree was used in preference to` corporate imagersquorsquo The corporate identityconcept was not only used as asurrogate for ` image managementrsquorsquo but has been viewed by some authors suchas Dowling (1994) as being fundamentally concerned with visual identityOthers saw the concept as embracing the distinct characteristics of anorganisation (Van Riel and Balmer 1997) In recent years reference to the

EuropeanJournal ofMarketing3534

268

` corporate brandrsquorsquo or what is sometimes termed ` service brandingrsquorsquo (cf Balmer1995 De Chernatony 1999) has replaced reference to ` corporate identityrsquorsquo Ofparticular note is corporate reputation which as a concept has been in theascendant over recent years and has almost eclipsed references to the corporateimage in the literature and in management parlance What is apparent is thattoo many practitioners and some scholars have tended to regard the emergenceof a new concept as a replacement to what has gone before rather thanconsidering each new concept for its potential in building on what preceded itand furthering therefore the general understanding of the creationmanagement and saliency of business identity

Tenth explanation for the fog the inappropriateness of the positivistic researchparadigm in the initial stage of theory generation vis-aAacute-vis identityUndue attention has been given to measuring the outcomes and benefits ofeffective business identity management Providing a firm foundation regardingthe nature andor driving forces of business identity will do much to lift the fogsurrounding the area In this regard the research paradigm of naturalism isperhaps more appropriate than positivism in explaining a phenomenon such ascorporate identity which has not previously been subjected to a great deal ofempirical research viz Van Mannen (1985) Case studies can also be usefulwith regard to theory building research in the field of corporate identity Oliver(1997) argued the importance of case study research albeit in relation tocorporate communication and stated that formal theories do develop from casestudies Oliver is supported in her view by others including Gill and Johnson(1991) and Yin (1984)

While some caution needs to be applied to the maxim found in VirgilrsquosAeneid ` ab uno disce omnesrsquorsquo (from one learn all) it would perhaps be equallyperverse to suggest the opposite that nothing is gained from the findings ofcase studies This is after all the modus operandi underpinning HarvardBusiness Schoolrsquos pedagogical approach

Deshpande (1983) notes that quantitative methods are more suitable fortheory testing than theory generation Vankatesh (1985 p 62) commented thatthe emphasis on empirical research data analysis and quantitative modellingoffers little potential for theory generation As such the author argues thatmarketing scholars should give a greater emphasis to qualitative and casestudy research

Eleventh explanation for the fog the paucity of empirical academic researchThree reasons are postulated by the writer as to why there has been a lack ofpublished empirical research

(1) Until recently the traditional lack of interest from all but a fewmanagement academics

(2) The difficulty in getting published in mainstream management journals

(3) The difficulty in undertaking research into corporate identity

Corporate identitybranding and

marketing

269

Invariably business identity issues encompass issues that are of particularsensitivity and have fundamental importance to organisations and their seniormanagement Therefore researchers are likely to experience acute difficulty inresearching changes of business identity which probe into the quintessence ofan organisationrsquos existence and which can propel to the fore issues of greatsensitivity and political importance In addition new scholars are likely to havethe wherewithall to extrapolate data and disseminate their findings throughlearned journals

Although this traditionally has been the case it is difficult to say whetherthis is a cause or effect vis-aAacute -vis points (1) to (3) Perhaps all elements have madea contribution What is encouraging is that more scholars are embarking onresearch into this business identity and this is represented in the burgeoningnumber of candidates embarking upon doctoral research in corporate identitySignificant empirical research to date includes that by Balmer and Wilson(1998) relating to the BBC and a major UK high street bank Dutton andDukerichrsquos (1991) research on the New York port authority Elsbach andKramerrsquos (1996) research in US universities Gioia and Thomasrsquos (1996)investigation relating to universities and Van Rekomrsquos (1997) study focusing ona sector of the Dutch tourism industry

Twelfth explanation for the fog undue focus being accorded to the businessidentities of holding companiesparent organisationsThe literature reveals a bias towards the identities of holding or parentcompanies with insufficient attention being given to the identities ofsubsidiaries as well as to industrial identities alliances licensing arrangementsand to federal types of organisational structures An exception to the latter wasBalmerrsquos (1996) research which focused on BBC Scotland plusmn a subsidiary of theBBC The emphasis accorded to the identities of parent organisations hasperhaps resulted in a far too simplistic categorisation regarding therelationship between subsidiaries business units and the holding companyThis can be seen in Olinsrsquos (1978) highly influential tripartite categorisation ofbusiness identities which he calls monolithic endorsed and brandedAlthough this is a useful basic classification it disguises the fact that parent-subsidiary relationships are invariably more complicated as evinced byKammerer (1989) Furthermore insufficient attention is given to the industry-wide generic identities with the exception of Balmer and Wilkinson (1991) andWilkinson and Balmer (1996)

Upon reflection there are other identity types such as the identity ofalliances including the ` Starrsquorsquo ` One Worldrsquorsquo and ` Wingsrsquorsquo airline alliances theidentity of consortiums such as the European Airbus and the sharing of abrand name by several important companies Examples include the Hiltonbrand name which is shared by Hilton Hotel of the USA and Ladbrokes of theUK the Rolls-Royce brand licensed to car manufacturers VWBMW(Germany) by the UK aero-engines group Rolls-Royce the multiplicity ofidentities subsumed beneath the umbrella of the Virgin brand and the Co-op

EuropeanJournal ofMarketing3534

270

brand in the UK which serves as an umbrella brand for its labyrinthicorganisational structure The simplistic approach to organisational structureand strategy outlined above and the graphic design bias has in the authorrsquosopinion served to obfuscate business identityrsquos palpable affinity with corporatestrategy

Thirteenth explanation for the fog the emphasis assigned to Anglo-Saxonforms of business structuresFor the main the various literatures of business identity focus on Anglo-Saxonforms of business identity which is characterised by short termism and whereshareholders are accorded particular importance Little has appeared inEuropean journals with regard to non Anglo-Saxon forms of businessidentities As such it would appear that undue emphasis is accorded to verticalrather than to horizontal organisational structures

There is prima facie case to suggest that existing Anglo-Saxon theories ofbusiness identity are inappropriate to certain organisational structuresoperating in other countries due to cultural and economic reasons This canperhaps be most clearly seen in Japan and Korea The traditional Japanesekeiretsu structure which encompasses well known brand names such asMitsubishi Mitsui and Sumitomo differ from their Anglo-Saxon counterpartsin that they invariably include financial services companies that can providefinance to other members of the keiretsu Typically each keiretsu structurecontains

a commercial bank a trust bank and a life insurance company

each group contains a trading company which supports other membersof the group through the provision of such things as intelligence andproject management

there is cross-shareholdings of such groups which makes it difficult fora member of the group to be threatened with an aggressive take-over

in times of crisis members of the kieretsu group will provide supportfinancial or service to the beleaguered company and finally

there is a leading group of companies

The Korean chaebol structure is similar to the Japanese keiretsu structure withthe exception that first members of the founding family still in some instancesmanage the company and second the chaebol does not contain powerfulfinancial institutions or trading companies

What is clear from the above illustration is that Eastern businessrelationships are more complicated than those witnessed in many Anglo-Saxoncompanies that the visualbranding structure is invariably applied to a familyof more or less autonomous companies rather than to a single commercialconcern that the notion of internal communications takes on a particularlyimportant role vis-aAacute -vis communication between members of the kieretsuchaebol and that the external communication is more complicated This is

Corporate identitybranding and

marketing

271

because each company of the group not only needs to support its own corporatecommunication efforts and reputation but also that of the group Here thegrouprsquos reputation will appear to act as a powerful control mechanismBalmerrsquos (1998) DEAR Model (Decisions are Evaluated Against theorganisationrsquosgrouprsquos Reputation) may be of use in this regard

It is important to recall that there are other forms of organisational structureoperating in the West other than Anglo-Saxon structures One approachprevalent in southern Europe and termed ` the Latin approachrsquorsquo is according toCova and Aubert-Gamet (1997) based on the view that marketing institutionsare less effective than proximate communities influencing peoplesrsquo behaviourCova coined the term ` societingrsquorsquo to encapsulate this approach A case in pointis the Rhine model of organisations which for obvious reasons is prevalent inthose nations bordering the Rhine Here there are flatter more community-focused structures

In Germany businesses are not dominated by big brand names In a 1989survey for Business Week Germany accounted for only 3 per cent of the worldrsquos1000 largest companies Germanyrsquos strength (and also that of Northern Italy)rests in its Mittelstand These are small to medium-sized family businesses InGermany the characteristics of such companies are

family owned

financiers or investors are not owners or controllers of the companies

the objective is long term survival and

stakeholdersrsquo groupings cannot so easily be broken down into internaland external stakeholders

Interestingly concern is shown to stakeholders of the future Table IV providesa summation of the Anglo-Saxon and the Rhine and Asian approaches

Fourteenth explanation of the fog weaknesses in early traditional marketingmodels of corporate identitycorporate image management and formationThe fourteenth weakness identified by the writer is the weaknesses in many ofthe more influential conceptual models of corporate imageidentityreputationformation (Abratt 1989 Dowling 1986 1993 and Kennedy 1977) It wouldappear that in some of these models the writers confuse corporate identity withcorporate image While the writer is critical of some of the models each of themmakes a valuable contribution to the debate on the area Certainly several ofthese models were at the cutting edge of the debate on the area at the time theywere published These four models will be examined in turn

Abrattrsquos model (1989)Abrattrsquos conceptual and prescriptive model has the objective of explaining thecorporate image management process and adopts an ` outside inrsquorsquo focus (animage reputation focus) rather than an inside out (an identity personalityfocus) Abrattrsquos model is most useful in that it attempts to integrate the

EuropeanJournal ofMarketing3534

272

problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

marketing

273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

EuropeanJournal ofMarketing3534

274

challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

marketing

275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

EuropeanJournal ofMarketing3534

276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

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ns

(d)

Cor

por

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PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

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seco

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alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

References

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Abratt R (1989) ` A new approach to the corporate image management processrsquorsquo Journal of MarketingManagement Vol 5 No 1 pp 63-76

Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

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marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

EuropeanJournal ofMarketing3534

288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 20: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

Corporate identitybranding and

marketing

267

However whereas a visual audit may reveal symptoms of inherent corporatemalaise many organisations fall into the trap of resorting to the initiation of anew visual identity as a means of correcting what can be profoundorganisational difficulties This may suggest a degree of naivety on the part ofsome senior managers and consultancies in failing to differentiate between thecauses and the symptoms (visual-identity) of a weak inconsistent negative orunwanted business identity As a result of this approach a number of authorstend to define corporate identity in prosaic terms namely ` what anorganisation isrsquorsquo While inadequate as a definition it does help to distance thearea from the narrow graphic design perspective

The emphasis on the visual has had another unfortunate effect in cloudingover the importance of the other senses of sound scent taste and touch Itwould be perverse to suggest that visually impaired customers employees orinvestors are unable to recognise differentiate between or form opinions oforganisations Upon reflection it becomes apparent that the non-visual sensescan be just as powerful in communicating the identity of a collective group Forexample the aural sense has a dominant role in the recognition of the identitiesof radio stations The aural sense also helps to differentiate one nation statefrom another via the use of languages and national anthems Important lessonscan in this regard be learned from ancient institutions such as the CatholicChurch which marshals all the senses to forge an impressive panoply ofsignals to support the Catholic Churchrsquos tenets and beliefs Although theCatholic Church has in recent years offered a somewhat flaccid version of itsidentity it is still possible to experience the effect of marshalling of all thesenses in an experience which is unique to the Catholic faith Thus at atraditional solemn celebration of the liturgy at Londonrsquos Brompton Oratorythe churchrsquos distinctiveness is communicated through among otherssymbolism (vestments church furnishings architecture posture of clergy andlaity) sound (Latin Gregorian chant and polyphony) smell (incense) touch(holy water) and taste (taking the sacrament)

Ninth explanation for the fog the effect of fashionVagaries in fashion in the use of concepts have played their part in thickeningthe fog surrounding the area A would-be scholar of business identity studieshas to show a good deal of perspicacity not only in accommodating the richvariety of concepts in use but also in exerting acute vigilance in theirassessment of what he or she understands by the concept The effects offashion can clearly be seen in the 1950s and 1960s when much attention wasfocused on the concept of the ` corporate imagersquorsquo Yet in the 1970s ` corporateidentityrsquorsquo grew in popularity and to some degree was used in preference to` corporate imagersquorsquo The corporate identityconcept was not only used as asurrogate for ` image managementrsquorsquo but has been viewed by some authors suchas Dowling (1994) as being fundamentally concerned with visual identityOthers saw the concept as embracing the distinct characteristics of anorganisation (Van Riel and Balmer 1997) In recent years reference to the

EuropeanJournal ofMarketing3534

268

` corporate brandrsquorsquo or what is sometimes termed ` service brandingrsquorsquo (cf Balmer1995 De Chernatony 1999) has replaced reference to ` corporate identityrsquorsquo Ofparticular note is corporate reputation which as a concept has been in theascendant over recent years and has almost eclipsed references to the corporateimage in the literature and in management parlance What is apparent is thattoo many practitioners and some scholars have tended to regard the emergenceof a new concept as a replacement to what has gone before rather thanconsidering each new concept for its potential in building on what preceded itand furthering therefore the general understanding of the creationmanagement and saliency of business identity

Tenth explanation for the fog the inappropriateness of the positivistic researchparadigm in the initial stage of theory generation vis-aAacute-vis identityUndue attention has been given to measuring the outcomes and benefits ofeffective business identity management Providing a firm foundation regardingthe nature andor driving forces of business identity will do much to lift the fogsurrounding the area In this regard the research paradigm of naturalism isperhaps more appropriate than positivism in explaining a phenomenon such ascorporate identity which has not previously been subjected to a great deal ofempirical research viz Van Mannen (1985) Case studies can also be usefulwith regard to theory building research in the field of corporate identity Oliver(1997) argued the importance of case study research albeit in relation tocorporate communication and stated that formal theories do develop from casestudies Oliver is supported in her view by others including Gill and Johnson(1991) and Yin (1984)

While some caution needs to be applied to the maxim found in VirgilrsquosAeneid ` ab uno disce omnesrsquorsquo (from one learn all) it would perhaps be equallyperverse to suggest the opposite that nothing is gained from the findings ofcase studies This is after all the modus operandi underpinning HarvardBusiness Schoolrsquos pedagogical approach

Deshpande (1983) notes that quantitative methods are more suitable fortheory testing than theory generation Vankatesh (1985 p 62) commented thatthe emphasis on empirical research data analysis and quantitative modellingoffers little potential for theory generation As such the author argues thatmarketing scholars should give a greater emphasis to qualitative and casestudy research

Eleventh explanation for the fog the paucity of empirical academic researchThree reasons are postulated by the writer as to why there has been a lack ofpublished empirical research

(1) Until recently the traditional lack of interest from all but a fewmanagement academics

(2) The difficulty in getting published in mainstream management journals

(3) The difficulty in undertaking research into corporate identity

Corporate identitybranding and

marketing

269

Invariably business identity issues encompass issues that are of particularsensitivity and have fundamental importance to organisations and their seniormanagement Therefore researchers are likely to experience acute difficulty inresearching changes of business identity which probe into the quintessence ofan organisationrsquos existence and which can propel to the fore issues of greatsensitivity and political importance In addition new scholars are likely to havethe wherewithall to extrapolate data and disseminate their findings throughlearned journals

Although this traditionally has been the case it is difficult to say whetherthis is a cause or effect vis-aAacute -vis points (1) to (3) Perhaps all elements have madea contribution What is encouraging is that more scholars are embarking onresearch into this business identity and this is represented in the burgeoningnumber of candidates embarking upon doctoral research in corporate identitySignificant empirical research to date includes that by Balmer and Wilson(1998) relating to the BBC and a major UK high street bank Dutton andDukerichrsquos (1991) research on the New York port authority Elsbach andKramerrsquos (1996) research in US universities Gioia and Thomasrsquos (1996)investigation relating to universities and Van Rekomrsquos (1997) study focusing ona sector of the Dutch tourism industry

Twelfth explanation for the fog undue focus being accorded to the businessidentities of holding companiesparent organisationsThe literature reveals a bias towards the identities of holding or parentcompanies with insufficient attention being given to the identities ofsubsidiaries as well as to industrial identities alliances licensing arrangementsand to federal types of organisational structures An exception to the latter wasBalmerrsquos (1996) research which focused on BBC Scotland plusmn a subsidiary of theBBC The emphasis accorded to the identities of parent organisations hasperhaps resulted in a far too simplistic categorisation regarding therelationship between subsidiaries business units and the holding companyThis can be seen in Olinsrsquos (1978) highly influential tripartite categorisation ofbusiness identities which he calls monolithic endorsed and brandedAlthough this is a useful basic classification it disguises the fact that parent-subsidiary relationships are invariably more complicated as evinced byKammerer (1989) Furthermore insufficient attention is given to the industry-wide generic identities with the exception of Balmer and Wilkinson (1991) andWilkinson and Balmer (1996)

Upon reflection there are other identity types such as the identity ofalliances including the ` Starrsquorsquo ` One Worldrsquorsquo and ` Wingsrsquorsquo airline alliances theidentity of consortiums such as the European Airbus and the sharing of abrand name by several important companies Examples include the Hiltonbrand name which is shared by Hilton Hotel of the USA and Ladbrokes of theUK the Rolls-Royce brand licensed to car manufacturers VWBMW(Germany) by the UK aero-engines group Rolls-Royce the multiplicity ofidentities subsumed beneath the umbrella of the Virgin brand and the Co-op

EuropeanJournal ofMarketing3534

270

brand in the UK which serves as an umbrella brand for its labyrinthicorganisational structure The simplistic approach to organisational structureand strategy outlined above and the graphic design bias has in the authorrsquosopinion served to obfuscate business identityrsquos palpable affinity with corporatestrategy

Thirteenth explanation for the fog the emphasis assigned to Anglo-Saxonforms of business structuresFor the main the various literatures of business identity focus on Anglo-Saxonforms of business identity which is characterised by short termism and whereshareholders are accorded particular importance Little has appeared inEuropean journals with regard to non Anglo-Saxon forms of businessidentities As such it would appear that undue emphasis is accorded to verticalrather than to horizontal organisational structures

There is prima facie case to suggest that existing Anglo-Saxon theories ofbusiness identity are inappropriate to certain organisational structuresoperating in other countries due to cultural and economic reasons This canperhaps be most clearly seen in Japan and Korea The traditional Japanesekeiretsu structure which encompasses well known brand names such asMitsubishi Mitsui and Sumitomo differ from their Anglo-Saxon counterpartsin that they invariably include financial services companies that can providefinance to other members of the keiretsu Typically each keiretsu structurecontains

a commercial bank a trust bank and a life insurance company

each group contains a trading company which supports other membersof the group through the provision of such things as intelligence andproject management

there is cross-shareholdings of such groups which makes it difficult fora member of the group to be threatened with an aggressive take-over

in times of crisis members of the kieretsu group will provide supportfinancial or service to the beleaguered company and finally

there is a leading group of companies

The Korean chaebol structure is similar to the Japanese keiretsu structure withthe exception that first members of the founding family still in some instancesmanage the company and second the chaebol does not contain powerfulfinancial institutions or trading companies

What is clear from the above illustration is that Eastern businessrelationships are more complicated than those witnessed in many Anglo-Saxoncompanies that the visualbranding structure is invariably applied to a familyof more or less autonomous companies rather than to a single commercialconcern that the notion of internal communications takes on a particularlyimportant role vis-aAacute -vis communication between members of the kieretsuchaebol and that the external communication is more complicated This is

Corporate identitybranding and

marketing

271

because each company of the group not only needs to support its own corporatecommunication efforts and reputation but also that of the group Here thegrouprsquos reputation will appear to act as a powerful control mechanismBalmerrsquos (1998) DEAR Model (Decisions are Evaluated Against theorganisationrsquosgrouprsquos Reputation) may be of use in this regard

It is important to recall that there are other forms of organisational structureoperating in the West other than Anglo-Saxon structures One approachprevalent in southern Europe and termed ` the Latin approachrsquorsquo is according toCova and Aubert-Gamet (1997) based on the view that marketing institutionsare less effective than proximate communities influencing peoplesrsquo behaviourCova coined the term ` societingrsquorsquo to encapsulate this approach A case in pointis the Rhine model of organisations which for obvious reasons is prevalent inthose nations bordering the Rhine Here there are flatter more community-focused structures

In Germany businesses are not dominated by big brand names In a 1989survey for Business Week Germany accounted for only 3 per cent of the worldrsquos1000 largest companies Germanyrsquos strength (and also that of Northern Italy)rests in its Mittelstand These are small to medium-sized family businesses InGermany the characteristics of such companies are

family owned

financiers or investors are not owners or controllers of the companies

the objective is long term survival and

stakeholdersrsquo groupings cannot so easily be broken down into internaland external stakeholders

Interestingly concern is shown to stakeholders of the future Table IV providesa summation of the Anglo-Saxon and the Rhine and Asian approaches

Fourteenth explanation of the fog weaknesses in early traditional marketingmodels of corporate identitycorporate image management and formationThe fourteenth weakness identified by the writer is the weaknesses in many ofthe more influential conceptual models of corporate imageidentityreputationformation (Abratt 1989 Dowling 1986 1993 and Kennedy 1977) It wouldappear that in some of these models the writers confuse corporate identity withcorporate image While the writer is critical of some of the models each of themmakes a valuable contribution to the debate on the area Certainly several ofthese models were at the cutting edge of the debate on the area at the time theywere published These four models will be examined in turn

Abrattrsquos model (1989)Abrattrsquos conceptual and prescriptive model has the objective of explaining thecorporate image management process and adopts an ` outside inrsquorsquo focus (animage reputation focus) rather than an inside out (an identity personalityfocus) Abrattrsquos model is most useful in that it attempts to integrate the

EuropeanJournal ofMarketing3534

272

problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

marketing

273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

EuropeanJournal ofMarketing3534

274

challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

marketing

275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

EuropeanJournal ofMarketing3534

276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 21: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

EuropeanJournal ofMarketing3534

268

` corporate brandrsquorsquo or what is sometimes termed ` service brandingrsquorsquo (cf Balmer1995 De Chernatony 1999) has replaced reference to ` corporate identityrsquorsquo Ofparticular note is corporate reputation which as a concept has been in theascendant over recent years and has almost eclipsed references to the corporateimage in the literature and in management parlance What is apparent is thattoo many practitioners and some scholars have tended to regard the emergenceof a new concept as a replacement to what has gone before rather thanconsidering each new concept for its potential in building on what preceded itand furthering therefore the general understanding of the creationmanagement and saliency of business identity

Tenth explanation for the fog the inappropriateness of the positivistic researchparadigm in the initial stage of theory generation vis-aAacute-vis identityUndue attention has been given to measuring the outcomes and benefits ofeffective business identity management Providing a firm foundation regardingthe nature andor driving forces of business identity will do much to lift the fogsurrounding the area In this regard the research paradigm of naturalism isperhaps more appropriate than positivism in explaining a phenomenon such ascorporate identity which has not previously been subjected to a great deal ofempirical research viz Van Mannen (1985) Case studies can also be usefulwith regard to theory building research in the field of corporate identity Oliver(1997) argued the importance of case study research albeit in relation tocorporate communication and stated that formal theories do develop from casestudies Oliver is supported in her view by others including Gill and Johnson(1991) and Yin (1984)

While some caution needs to be applied to the maxim found in VirgilrsquosAeneid ` ab uno disce omnesrsquorsquo (from one learn all) it would perhaps be equallyperverse to suggest the opposite that nothing is gained from the findings ofcase studies This is after all the modus operandi underpinning HarvardBusiness Schoolrsquos pedagogical approach

Deshpande (1983) notes that quantitative methods are more suitable fortheory testing than theory generation Vankatesh (1985 p 62) commented thatthe emphasis on empirical research data analysis and quantitative modellingoffers little potential for theory generation As such the author argues thatmarketing scholars should give a greater emphasis to qualitative and casestudy research

Eleventh explanation for the fog the paucity of empirical academic researchThree reasons are postulated by the writer as to why there has been a lack ofpublished empirical research

(1) Until recently the traditional lack of interest from all but a fewmanagement academics

(2) The difficulty in getting published in mainstream management journals

(3) The difficulty in undertaking research into corporate identity

Corporate identitybranding and

marketing

269

Invariably business identity issues encompass issues that are of particularsensitivity and have fundamental importance to organisations and their seniormanagement Therefore researchers are likely to experience acute difficulty inresearching changes of business identity which probe into the quintessence ofan organisationrsquos existence and which can propel to the fore issues of greatsensitivity and political importance In addition new scholars are likely to havethe wherewithall to extrapolate data and disseminate their findings throughlearned journals

Although this traditionally has been the case it is difficult to say whetherthis is a cause or effect vis-aAacute -vis points (1) to (3) Perhaps all elements have madea contribution What is encouraging is that more scholars are embarking onresearch into this business identity and this is represented in the burgeoningnumber of candidates embarking upon doctoral research in corporate identitySignificant empirical research to date includes that by Balmer and Wilson(1998) relating to the BBC and a major UK high street bank Dutton andDukerichrsquos (1991) research on the New York port authority Elsbach andKramerrsquos (1996) research in US universities Gioia and Thomasrsquos (1996)investigation relating to universities and Van Rekomrsquos (1997) study focusing ona sector of the Dutch tourism industry

Twelfth explanation for the fog undue focus being accorded to the businessidentities of holding companiesparent organisationsThe literature reveals a bias towards the identities of holding or parentcompanies with insufficient attention being given to the identities ofsubsidiaries as well as to industrial identities alliances licensing arrangementsand to federal types of organisational structures An exception to the latter wasBalmerrsquos (1996) research which focused on BBC Scotland plusmn a subsidiary of theBBC The emphasis accorded to the identities of parent organisations hasperhaps resulted in a far too simplistic categorisation regarding therelationship between subsidiaries business units and the holding companyThis can be seen in Olinsrsquos (1978) highly influential tripartite categorisation ofbusiness identities which he calls monolithic endorsed and brandedAlthough this is a useful basic classification it disguises the fact that parent-subsidiary relationships are invariably more complicated as evinced byKammerer (1989) Furthermore insufficient attention is given to the industry-wide generic identities with the exception of Balmer and Wilkinson (1991) andWilkinson and Balmer (1996)

Upon reflection there are other identity types such as the identity ofalliances including the ` Starrsquorsquo ` One Worldrsquorsquo and ` Wingsrsquorsquo airline alliances theidentity of consortiums such as the European Airbus and the sharing of abrand name by several important companies Examples include the Hiltonbrand name which is shared by Hilton Hotel of the USA and Ladbrokes of theUK the Rolls-Royce brand licensed to car manufacturers VWBMW(Germany) by the UK aero-engines group Rolls-Royce the multiplicity ofidentities subsumed beneath the umbrella of the Virgin brand and the Co-op

EuropeanJournal ofMarketing3534

270

brand in the UK which serves as an umbrella brand for its labyrinthicorganisational structure The simplistic approach to organisational structureand strategy outlined above and the graphic design bias has in the authorrsquosopinion served to obfuscate business identityrsquos palpable affinity with corporatestrategy

Thirteenth explanation for the fog the emphasis assigned to Anglo-Saxonforms of business structuresFor the main the various literatures of business identity focus on Anglo-Saxonforms of business identity which is characterised by short termism and whereshareholders are accorded particular importance Little has appeared inEuropean journals with regard to non Anglo-Saxon forms of businessidentities As such it would appear that undue emphasis is accorded to verticalrather than to horizontal organisational structures

There is prima facie case to suggest that existing Anglo-Saxon theories ofbusiness identity are inappropriate to certain organisational structuresoperating in other countries due to cultural and economic reasons This canperhaps be most clearly seen in Japan and Korea The traditional Japanesekeiretsu structure which encompasses well known brand names such asMitsubishi Mitsui and Sumitomo differ from their Anglo-Saxon counterpartsin that they invariably include financial services companies that can providefinance to other members of the keiretsu Typically each keiretsu structurecontains

a commercial bank a trust bank and a life insurance company

each group contains a trading company which supports other membersof the group through the provision of such things as intelligence andproject management

there is cross-shareholdings of such groups which makes it difficult fora member of the group to be threatened with an aggressive take-over

in times of crisis members of the kieretsu group will provide supportfinancial or service to the beleaguered company and finally

there is a leading group of companies

The Korean chaebol structure is similar to the Japanese keiretsu structure withthe exception that first members of the founding family still in some instancesmanage the company and second the chaebol does not contain powerfulfinancial institutions or trading companies

What is clear from the above illustration is that Eastern businessrelationships are more complicated than those witnessed in many Anglo-Saxoncompanies that the visualbranding structure is invariably applied to a familyof more or less autonomous companies rather than to a single commercialconcern that the notion of internal communications takes on a particularlyimportant role vis-aAacute -vis communication between members of the kieretsuchaebol and that the external communication is more complicated This is

Corporate identitybranding and

marketing

271

because each company of the group not only needs to support its own corporatecommunication efforts and reputation but also that of the group Here thegrouprsquos reputation will appear to act as a powerful control mechanismBalmerrsquos (1998) DEAR Model (Decisions are Evaluated Against theorganisationrsquosgrouprsquos Reputation) may be of use in this regard

It is important to recall that there are other forms of organisational structureoperating in the West other than Anglo-Saxon structures One approachprevalent in southern Europe and termed ` the Latin approachrsquorsquo is according toCova and Aubert-Gamet (1997) based on the view that marketing institutionsare less effective than proximate communities influencing peoplesrsquo behaviourCova coined the term ` societingrsquorsquo to encapsulate this approach A case in pointis the Rhine model of organisations which for obvious reasons is prevalent inthose nations bordering the Rhine Here there are flatter more community-focused structures

In Germany businesses are not dominated by big brand names In a 1989survey for Business Week Germany accounted for only 3 per cent of the worldrsquos1000 largest companies Germanyrsquos strength (and also that of Northern Italy)rests in its Mittelstand These are small to medium-sized family businesses InGermany the characteristics of such companies are

family owned

financiers or investors are not owners or controllers of the companies

the objective is long term survival and

stakeholdersrsquo groupings cannot so easily be broken down into internaland external stakeholders

Interestingly concern is shown to stakeholders of the future Table IV providesa summation of the Anglo-Saxon and the Rhine and Asian approaches

Fourteenth explanation of the fog weaknesses in early traditional marketingmodels of corporate identitycorporate image management and formationThe fourteenth weakness identified by the writer is the weaknesses in many ofthe more influential conceptual models of corporate imageidentityreputationformation (Abratt 1989 Dowling 1986 1993 and Kennedy 1977) It wouldappear that in some of these models the writers confuse corporate identity withcorporate image While the writer is critical of some of the models each of themmakes a valuable contribution to the debate on the area Certainly several ofthese models were at the cutting edge of the debate on the area at the time theywere published These four models will be examined in turn

Abrattrsquos model (1989)Abrattrsquos conceptual and prescriptive model has the objective of explaining thecorporate image management process and adopts an ` outside inrsquorsquo focus (animage reputation focus) rather than an inside out (an identity personalityfocus) Abrattrsquos model is most useful in that it attempts to integrate the

EuropeanJournal ofMarketing3534

272

problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

marketing

273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

EuropeanJournal ofMarketing3534

274

challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

marketing

275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

EuropeanJournal ofMarketing3534

276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

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Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

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Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

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Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

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Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 22: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

Corporate identitybranding and

marketing

269

Invariably business identity issues encompass issues that are of particularsensitivity and have fundamental importance to organisations and their seniormanagement Therefore researchers are likely to experience acute difficulty inresearching changes of business identity which probe into the quintessence ofan organisationrsquos existence and which can propel to the fore issues of greatsensitivity and political importance In addition new scholars are likely to havethe wherewithall to extrapolate data and disseminate their findings throughlearned journals

Although this traditionally has been the case it is difficult to say whetherthis is a cause or effect vis-aAacute -vis points (1) to (3) Perhaps all elements have madea contribution What is encouraging is that more scholars are embarking onresearch into this business identity and this is represented in the burgeoningnumber of candidates embarking upon doctoral research in corporate identitySignificant empirical research to date includes that by Balmer and Wilson(1998) relating to the BBC and a major UK high street bank Dutton andDukerichrsquos (1991) research on the New York port authority Elsbach andKramerrsquos (1996) research in US universities Gioia and Thomasrsquos (1996)investigation relating to universities and Van Rekomrsquos (1997) study focusing ona sector of the Dutch tourism industry

Twelfth explanation for the fog undue focus being accorded to the businessidentities of holding companiesparent organisationsThe literature reveals a bias towards the identities of holding or parentcompanies with insufficient attention being given to the identities ofsubsidiaries as well as to industrial identities alliances licensing arrangementsand to federal types of organisational structures An exception to the latter wasBalmerrsquos (1996) research which focused on BBC Scotland plusmn a subsidiary of theBBC The emphasis accorded to the identities of parent organisations hasperhaps resulted in a far too simplistic categorisation regarding therelationship between subsidiaries business units and the holding companyThis can be seen in Olinsrsquos (1978) highly influential tripartite categorisation ofbusiness identities which he calls monolithic endorsed and brandedAlthough this is a useful basic classification it disguises the fact that parent-subsidiary relationships are invariably more complicated as evinced byKammerer (1989) Furthermore insufficient attention is given to the industry-wide generic identities with the exception of Balmer and Wilkinson (1991) andWilkinson and Balmer (1996)

Upon reflection there are other identity types such as the identity ofalliances including the ` Starrsquorsquo ` One Worldrsquorsquo and ` Wingsrsquorsquo airline alliances theidentity of consortiums such as the European Airbus and the sharing of abrand name by several important companies Examples include the Hiltonbrand name which is shared by Hilton Hotel of the USA and Ladbrokes of theUK the Rolls-Royce brand licensed to car manufacturers VWBMW(Germany) by the UK aero-engines group Rolls-Royce the multiplicity ofidentities subsumed beneath the umbrella of the Virgin brand and the Co-op

EuropeanJournal ofMarketing3534

270

brand in the UK which serves as an umbrella brand for its labyrinthicorganisational structure The simplistic approach to organisational structureand strategy outlined above and the graphic design bias has in the authorrsquosopinion served to obfuscate business identityrsquos palpable affinity with corporatestrategy

Thirteenth explanation for the fog the emphasis assigned to Anglo-Saxonforms of business structuresFor the main the various literatures of business identity focus on Anglo-Saxonforms of business identity which is characterised by short termism and whereshareholders are accorded particular importance Little has appeared inEuropean journals with regard to non Anglo-Saxon forms of businessidentities As such it would appear that undue emphasis is accorded to verticalrather than to horizontal organisational structures

There is prima facie case to suggest that existing Anglo-Saxon theories ofbusiness identity are inappropriate to certain organisational structuresoperating in other countries due to cultural and economic reasons This canperhaps be most clearly seen in Japan and Korea The traditional Japanesekeiretsu structure which encompasses well known brand names such asMitsubishi Mitsui and Sumitomo differ from their Anglo-Saxon counterpartsin that they invariably include financial services companies that can providefinance to other members of the keiretsu Typically each keiretsu structurecontains

a commercial bank a trust bank and a life insurance company

each group contains a trading company which supports other membersof the group through the provision of such things as intelligence andproject management

there is cross-shareholdings of such groups which makes it difficult fora member of the group to be threatened with an aggressive take-over

in times of crisis members of the kieretsu group will provide supportfinancial or service to the beleaguered company and finally

there is a leading group of companies

The Korean chaebol structure is similar to the Japanese keiretsu structure withthe exception that first members of the founding family still in some instancesmanage the company and second the chaebol does not contain powerfulfinancial institutions or trading companies

What is clear from the above illustration is that Eastern businessrelationships are more complicated than those witnessed in many Anglo-Saxoncompanies that the visualbranding structure is invariably applied to a familyof more or less autonomous companies rather than to a single commercialconcern that the notion of internal communications takes on a particularlyimportant role vis-aAacute -vis communication between members of the kieretsuchaebol and that the external communication is more complicated This is

Corporate identitybranding and

marketing

271

because each company of the group not only needs to support its own corporatecommunication efforts and reputation but also that of the group Here thegrouprsquos reputation will appear to act as a powerful control mechanismBalmerrsquos (1998) DEAR Model (Decisions are Evaluated Against theorganisationrsquosgrouprsquos Reputation) may be of use in this regard

It is important to recall that there are other forms of organisational structureoperating in the West other than Anglo-Saxon structures One approachprevalent in southern Europe and termed ` the Latin approachrsquorsquo is according toCova and Aubert-Gamet (1997) based on the view that marketing institutionsare less effective than proximate communities influencing peoplesrsquo behaviourCova coined the term ` societingrsquorsquo to encapsulate this approach A case in pointis the Rhine model of organisations which for obvious reasons is prevalent inthose nations bordering the Rhine Here there are flatter more community-focused structures

In Germany businesses are not dominated by big brand names In a 1989survey for Business Week Germany accounted for only 3 per cent of the worldrsquos1000 largest companies Germanyrsquos strength (and also that of Northern Italy)rests in its Mittelstand These are small to medium-sized family businesses InGermany the characteristics of such companies are

family owned

financiers or investors are not owners or controllers of the companies

the objective is long term survival and

stakeholdersrsquo groupings cannot so easily be broken down into internaland external stakeholders

Interestingly concern is shown to stakeholders of the future Table IV providesa summation of the Anglo-Saxon and the Rhine and Asian approaches

Fourteenth explanation of the fog weaknesses in early traditional marketingmodels of corporate identitycorporate image management and formationThe fourteenth weakness identified by the writer is the weaknesses in many ofthe more influential conceptual models of corporate imageidentityreputationformation (Abratt 1989 Dowling 1986 1993 and Kennedy 1977) It wouldappear that in some of these models the writers confuse corporate identity withcorporate image While the writer is critical of some of the models each of themmakes a valuable contribution to the debate on the area Certainly several ofthese models were at the cutting edge of the debate on the area at the time theywere published These four models will be examined in turn

Abrattrsquos model (1989)Abrattrsquos conceptual and prescriptive model has the objective of explaining thecorporate image management process and adopts an ` outside inrsquorsquo focus (animage reputation focus) rather than an inside out (an identity personalityfocus) Abrattrsquos model is most useful in that it attempts to integrate the

EuropeanJournal ofMarketing3534

272

problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

marketing

273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

EuropeanJournal ofMarketing3534

274

challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

marketing

275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

EuropeanJournal ofMarketing3534

276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

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marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

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288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 23: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

EuropeanJournal ofMarketing3534

270

brand in the UK which serves as an umbrella brand for its labyrinthicorganisational structure The simplistic approach to organisational structureand strategy outlined above and the graphic design bias has in the authorrsquosopinion served to obfuscate business identityrsquos palpable affinity with corporatestrategy

Thirteenth explanation for the fog the emphasis assigned to Anglo-Saxonforms of business structuresFor the main the various literatures of business identity focus on Anglo-Saxonforms of business identity which is characterised by short termism and whereshareholders are accorded particular importance Little has appeared inEuropean journals with regard to non Anglo-Saxon forms of businessidentities As such it would appear that undue emphasis is accorded to verticalrather than to horizontal organisational structures

There is prima facie case to suggest that existing Anglo-Saxon theories ofbusiness identity are inappropriate to certain organisational structuresoperating in other countries due to cultural and economic reasons This canperhaps be most clearly seen in Japan and Korea The traditional Japanesekeiretsu structure which encompasses well known brand names such asMitsubishi Mitsui and Sumitomo differ from their Anglo-Saxon counterpartsin that they invariably include financial services companies that can providefinance to other members of the keiretsu Typically each keiretsu structurecontains

a commercial bank a trust bank and a life insurance company

each group contains a trading company which supports other membersof the group through the provision of such things as intelligence andproject management

there is cross-shareholdings of such groups which makes it difficult fora member of the group to be threatened with an aggressive take-over

in times of crisis members of the kieretsu group will provide supportfinancial or service to the beleaguered company and finally

there is a leading group of companies

The Korean chaebol structure is similar to the Japanese keiretsu structure withthe exception that first members of the founding family still in some instancesmanage the company and second the chaebol does not contain powerfulfinancial institutions or trading companies

What is clear from the above illustration is that Eastern businessrelationships are more complicated than those witnessed in many Anglo-Saxoncompanies that the visualbranding structure is invariably applied to a familyof more or less autonomous companies rather than to a single commercialconcern that the notion of internal communications takes on a particularlyimportant role vis-aAacute -vis communication between members of the kieretsuchaebol and that the external communication is more complicated This is

Corporate identitybranding and

marketing

271

because each company of the group not only needs to support its own corporatecommunication efforts and reputation but also that of the group Here thegrouprsquos reputation will appear to act as a powerful control mechanismBalmerrsquos (1998) DEAR Model (Decisions are Evaluated Against theorganisationrsquosgrouprsquos Reputation) may be of use in this regard

It is important to recall that there are other forms of organisational structureoperating in the West other than Anglo-Saxon structures One approachprevalent in southern Europe and termed ` the Latin approachrsquorsquo is according toCova and Aubert-Gamet (1997) based on the view that marketing institutionsare less effective than proximate communities influencing peoplesrsquo behaviourCova coined the term ` societingrsquorsquo to encapsulate this approach A case in pointis the Rhine model of organisations which for obvious reasons is prevalent inthose nations bordering the Rhine Here there are flatter more community-focused structures

In Germany businesses are not dominated by big brand names In a 1989survey for Business Week Germany accounted for only 3 per cent of the worldrsquos1000 largest companies Germanyrsquos strength (and also that of Northern Italy)rests in its Mittelstand These are small to medium-sized family businesses InGermany the characteristics of such companies are

family owned

financiers or investors are not owners or controllers of the companies

the objective is long term survival and

stakeholdersrsquo groupings cannot so easily be broken down into internaland external stakeholders

Interestingly concern is shown to stakeholders of the future Table IV providesa summation of the Anglo-Saxon and the Rhine and Asian approaches

Fourteenth explanation of the fog weaknesses in early traditional marketingmodels of corporate identitycorporate image management and formationThe fourteenth weakness identified by the writer is the weaknesses in many ofthe more influential conceptual models of corporate imageidentityreputationformation (Abratt 1989 Dowling 1986 1993 and Kennedy 1977) It wouldappear that in some of these models the writers confuse corporate identity withcorporate image While the writer is critical of some of the models each of themmakes a valuable contribution to the debate on the area Certainly several ofthese models were at the cutting edge of the debate on the area at the time theywere published These four models will be examined in turn

Abrattrsquos model (1989)Abrattrsquos conceptual and prescriptive model has the objective of explaining thecorporate image management process and adopts an ` outside inrsquorsquo focus (animage reputation focus) rather than an inside out (an identity personalityfocus) Abrattrsquos model is most useful in that it attempts to integrate the

EuropeanJournal ofMarketing3534

272

problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

marketing

273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

EuropeanJournal ofMarketing3534

274

challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

marketing

275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

EuropeanJournal ofMarketing3534

276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

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Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

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Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

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287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

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288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 24: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

Corporate identitybranding and

marketing

271

because each company of the group not only needs to support its own corporatecommunication efforts and reputation but also that of the group Here thegrouprsquos reputation will appear to act as a powerful control mechanismBalmerrsquos (1998) DEAR Model (Decisions are Evaluated Against theorganisationrsquosgrouprsquos Reputation) may be of use in this regard

It is important to recall that there are other forms of organisational structureoperating in the West other than Anglo-Saxon structures One approachprevalent in southern Europe and termed ` the Latin approachrsquorsquo is according toCova and Aubert-Gamet (1997) based on the view that marketing institutionsare less effective than proximate communities influencing peoplesrsquo behaviourCova coined the term ` societingrsquorsquo to encapsulate this approach A case in pointis the Rhine model of organisations which for obvious reasons is prevalent inthose nations bordering the Rhine Here there are flatter more community-focused structures

In Germany businesses are not dominated by big brand names In a 1989survey for Business Week Germany accounted for only 3 per cent of the worldrsquos1000 largest companies Germanyrsquos strength (and also that of Northern Italy)rests in its Mittelstand These are small to medium-sized family businesses InGermany the characteristics of such companies are

family owned

financiers or investors are not owners or controllers of the companies

the objective is long term survival and

stakeholdersrsquo groupings cannot so easily be broken down into internaland external stakeholders

Interestingly concern is shown to stakeholders of the future Table IV providesa summation of the Anglo-Saxon and the Rhine and Asian approaches

Fourteenth explanation of the fog weaknesses in early traditional marketingmodels of corporate identitycorporate image management and formationThe fourteenth weakness identified by the writer is the weaknesses in many ofthe more influential conceptual models of corporate imageidentityreputationformation (Abratt 1989 Dowling 1986 1993 and Kennedy 1977) It wouldappear that in some of these models the writers confuse corporate identity withcorporate image While the writer is critical of some of the models each of themmakes a valuable contribution to the debate on the area Certainly several ofthese models were at the cutting edge of the debate on the area at the time theywere published These four models will be examined in turn

Abrattrsquos model (1989)Abrattrsquos conceptual and prescriptive model has the objective of explaining thecorporate image management process and adopts an ` outside inrsquorsquo focus (animage reputation focus) rather than an inside out (an identity personalityfocus) Abrattrsquos model is most useful in that it attempts to integrate the

EuropeanJournal ofMarketing3534

272

problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

marketing

273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

EuropeanJournal ofMarketing3534

274

challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

marketing

275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

EuropeanJournal ofMarketing3534

276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

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286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

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Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

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Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

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Review Winter pp 94-104

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Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

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Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

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Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

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Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

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Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

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Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

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Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

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Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

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Corporate identitybranding and

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289

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Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 25: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

EuropeanJournal ofMarketing3534

272

problematic concepts of corporate personality identity and image This

appears to be the first time that this has been done The writer shares Abrattrsquos

view that an understanding of the three concepts is useful in determining the

nature and importance of corporate identity management

Table IVDifferences betweenAnglo-Saxon businessidentities and others asconceptualised by theauthor

Characteristics Anglo-Saxon approachesRhine kieretsu and chaebolapproaches

Objective Profit maximisation Business survival and businesslongevity

Time horizon Short-term Long-term

Change of ownership Potentially variablevolatile Inherently stable

Responsibility Management boards Principles of subsidiaritya

Organisationalstructure

Hierarchicalvertical Federal-horizontal

Desiredorganizational size

Medium-to-large Small-to-medium

Managementphilosophy

To serve interests of currentshareholders

To serve interests of current andfuture owners (family) andemployees

Philosophy offinancial institutionswith a residualinterest

Maximising their investmentrights over the short term

Adopting long-term investorpartnerships

Philosophy redistribution ofprofits

Maximise dividend payout Greater emphasis onre-investment

Shareholdercharacteristics

Emphasis on current investorscustomers and other internal-external groups Based on thenotion that there exist clearlydefined stakeholder groups

Blurring of boundaries betweeninternalexternal stakeholdersAlso concerned with futuremembers of stakeholder groupsand networks

Identity structures Emphasis on corporaterelationship between holdingcompanysubsidiaryincreasing ` top downrsquorsquo

Emphasis on group identityMutual concern with the familyof autonomous companiesSharing of brand name

Communication focus Two dimensionaland horizontalInternalexternal Emphasis on

external groups

Three dimensional and horizontaland vertical Internalexternalgroups and networks

Total corporatecommunicationfocus

Horizontal communicationconsisting through currentcommunication channels

Horizontal and verticalcommunications consistency recurrent past and futurecommunication channels

Note a See Pius X Pope (1931) Encyclical Quadragesimo Anno ` It is an injustice and atthe same time a great evil and disturbance of right order to transfer to the larger and highercollectivity functions which can be performed and provided for by lesser and subordinatebodiesrsquorsquo This structural approach of the church has not only been adopted by businessorganisations but is an espoused philosophy of the European Union

Corporate identitybranding and

marketing

273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

EuropeanJournal ofMarketing3534

274

challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

marketing

275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

EuropeanJournal ofMarketing3534

276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

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Vol 4 No 4 pp 200-7

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Business School

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Vol 31 pp 340-55

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Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

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290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 26: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

Corporate identitybranding and

marketing

273

With hindsight scholars may question a number of aspects of the model Forinstance culture is regarded as one component of the corporate personalityrather than enjoying a more important and central role in corporate identityformation The roAtildele of culture has been highlighted in the recent literature vizBalmer and Wilson (1998) and Hatch and Schultz (1997)

The model also appears to assign too much importance to formalcommunications and visual symbolism in image formation It does not includea feedback mechanism between the third and the second part of the modelsuggesting that the management philosophy is not altered in response tofeedback from personnel It also fails to show the effect of environmental forcesand regards corporate image(s) as the ultimate goal of identity management

An important feature of this conceptual model is the articulated corporateimageinterface which has been an influential concept (cf Balmer 1998bStuart 1998b) Abrattrsquos model has been highly influential and has beendeveloped as a basis for other models (see Stuart 1998b) The model containsseveral salient elements that have withstood the test of time and still informsthe current debate relating to corporate identity Without doubt Abrattrsquos workmarked a watershed in the field of business identity studies However Hatchand Schultz (1997) have presented a cogent argument questionning the saliencyof interface concept They argue that internalexternal boundaries have becomeblurred owing to increased interaction among internal and external groups andalso due to the fact that individuals belong to multiple stakeholder groups andnetworks However many marketing scholars would concur with Abratt thatthe interface concept is salient Indeed Balmer and Soenen (1999) built onAbrattrsquos interface in developing `The ACID Test of Corporate IdentityManagement2rsquorsquo[3]

Dowlingrsquos model (1993)Dowlingrsquos conceptual and prescriptive model whose principal focus is again onthe ` outside inrsquorsquo accords particular emphasis to corporate image (in effect arevised version of his 1986 model) As with Abratt this model has beenparticularly influential in Commonwealth countries The model appears todraw a good deal from Kennedyrsquos (1977) model At the heart of Dowlingrsquoscorporate image formation process is a corporate vision statement whichimpacts upon the organisationrsquos strategy and organisational culture Dowlingunlike Abratt assigns a greater importance to culture

Dowling postulates that image formation is not only dependent on themultifaceted way an organisation communicates but is also influenced bysuper and subordinate images He cites the examples of country-of-origin andthe image of an organisationrsquos brands

There are several weaknesses with Dowlingrsquos model in that there is someinconsistency between the title of his paper ` Developing your company imageinto a corporate assetrsquorsquo and his model which refers to the creation of corporateimages Second Dowlingrsquos approach to culture which he regards as a singleentity and as the glue which holds the organisation together has been

EuropeanJournal ofMarketing3534

274

challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

marketing

275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

EuropeanJournal ofMarketing3534

276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

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Lis

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elem

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Hplusmn

What

the

organ

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HA

SC

orpor

ate

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Philos

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Org

anis

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nal

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busi

nes

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sH

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ate

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Eplusmn

What

the

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EX

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(a)

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atio

nal

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corp

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ecu

lture

(som

etim

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orat

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ty)

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abov

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ple

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Per

sonal

ity

Var

ious

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cult

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incl

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dia

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iden

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pro

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ceIn

cludes

all

elem

ents

ofM

cCar

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hth

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cepti

onof

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form

ance

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ixel

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tsre

quir

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radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

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EN

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key

ST

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ups

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wor

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(a)

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nd

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ofth

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gan

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(im

age)

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and

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(rep

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ks

whic

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ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

References

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Abratt R (1989) ` A new approach to the corporate image management processrsquorsquo Journal of MarketingManagement Vol 5 No 1 pp 63-76

Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

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marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

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288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 27: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

EuropeanJournal ofMarketing3534

274

challenged by Hatch and Schultz (1997) and by Balmer and Wilson (1998)Recent empirical research by Balmer and Wilson (1998) revealed that anorganisationrsquos identity comprises a mix of sub cultures plusmn professional nationalas well as corporate What is a little surprising is that Dowling makes noreference to corporate identity What is clear is that Dowlingrsquos work has helpedto keep ` corporate identityrsquorsquo on the agenda of management and marketingscholars As such his work is of inestimable value

Kennedyrsquos model (1977)Kennedyrsquos model may in one regard be seen to be of greater researchsignificance than the two aforementioned models since it was in part derivedfrom empirical research Kennedyrsquos model replicates her findings that staff areof crucial importance in corporate image formation She concludes that anemployeersquos perception of a company will be influenced by such things ascompany policy company products and pay structures The lack of reference tothe concept of the corporate identity in the model is attributable to the fact thatthe concept of the corporate identity was not in common usage at that time

In retrospect Kennedyrsquos model can however be criticised She does notaddress the question as to whether consistency of perception and actionsamong senior managers is necessary This would appear to be a prerequisitebefore any attempt can be made to ` managersquorsquo the image of personnel What israther sad is that the content of Kennedyrsquos article was not embraced by otherscholars

The models in perspectiveThe traditional marketing models replicate many of the causes for the ` fogrsquorsquooutlined in this article In summary the major weaknesses with many of themodels referred to above and indeed many other models are that they

are conceptual (with the exception of Kennedy)

assign inordinate attention to visual symbolism and to corporatecommunications

do not give enough attention to questions of culture and where they dothe approach is often simplistic

do not give enough attention to the effects of the external environment(political economic ethical social and technological) and the influenceof various super and subordinate reputation types including those ofthe industry and country-of-origin

are concerned with image-formation rather than with identity-formation

regard the acquisition of a favourite perception of the corporation asbeing an end in itself with the assumption that this will be sufficient toensure profitability business advantage and survival rather than acrucial variable underpinning the above

Corporate identitybranding and

marketing

275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

EuropeanJournal ofMarketing3534

276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

References

Aaker DA (1996) Building Strong Brands The Free Press New York NY

Aberg L (1990) ` Theoretical model and praxis of total communicationsrsquorsquo International PublicRelations Review Vol 13 No 2

Abratt R (1989) ` A new approach to the corporate image management processrsquorsquo Journal of MarketingManagement Vol 5 No 1 pp 63-76

Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

Corporate identitybranding and

marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

EuropeanJournal ofMarketing3534

288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 28: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

Corporate identitybranding and

marketing

275

fail to note that a resultant corporate image may be negative unwantedas well as favourable (also applies to reputation)

do not deal with the question of company profile

assume that there will be a singly held corporate image among allstakeholder groups and by implication networks

the earlier models make no reference to reputation or to corporatebranding and in some cases to corporate identity

adopt a narrow perspective regarding the objective of identityimagemanagement or process and fail to adopt a broader approach whichencompasses business advantage profitability and survival asobjectives

for the main adopt a narrow marketing perspective on the area

do not accord sufficient importance to corporate structure and the factthat organisations often are subsidiaries with recognisable identities orand belong to supraorganisational groups with distinct structures

are based on the notion that it is possible to control the entire corporateidentity formation process relatively easily quickly and by managementdictat

do not take into account business to business relationships

emphasise linearity and simplicity rather than intricacy and complexity

Of note is Stuart (1999b) who provides a comprehensive overview of corporateimage and corporate identity models From her examination of existing modelsshe devised a more definitive model of the corporate identity managementprocess

Fifteenth explanation a failure to make a distinction between the actualcommunicated conceived ideal and desired identitiesRecent research undertaken by Balmer and Soenen (1999) within British andNorth American identity consultancies[2] revealed that most identity changeprogrammes adopted a narrow ` vision-drivenrsquorsquo approach Most identity changeprogrammes reflected the vision of the CEO The research showed that identitychange programmes had an overtly corporate communication and graphicdesign emphasis This appears to reflect the view that original identities can bechanged quickly easily and by management fiat

The researchers concluded that consultants practitioners and scholarsshould identify several identity types

In this article the lead author and researcher has given greater prominenceto perception (image and reputation) than was originally the case As such anew category type ` conceived identityrsquorsquo has been introduced thus making atotal of five identity types The revised approach detailed below has been called` Dr Balmerrsquos AC2ID Testrsquorsquo2 [3]

EuropeanJournal ofMarketing3534

276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

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Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

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Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

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Review Winter pp 94-104

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Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

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Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

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Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

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Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

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Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

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Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

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McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

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Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

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Corporate identitybranding and

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289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 29: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

EuropeanJournal ofMarketing3534

276

(1) the actual identity (internal values organisational behaviour activitiesmarket scope performance and positioning)

(2) the communicated identity (the various organisational messagesconveyed via primary secondary and tertiary communications ` totalcorporate communicationrsquorsquo)

(3) the conceived identity (the imagesrepresentations reputational profileheld of the organisation by stakeholder groups and networks)

(4) the ideal identity (the optimum positioning for the organisation in agiven time frame) and

(5) the desired identity (the vision as articulated by corporate founder andorthe chief executive and management board)

Ideally the five identity types should be in close alignment If they are not inalignment then some form of identity change will be required (cf Balmer 1995)The above may be viewed as a new methodology for corporate identity changeprogrammes This new approach marshals the distinct disciplinaryperspectives which are crucial to an understanding of a business identitynamely business activities scope culture and performance communicationperception strategy and leadership The original as well as the expandedversion of the various identities usefully form the mnemonic ACIDACCIDBoth approaches are respectively called ` The ACID Test of Corporate IdentityManagement2 Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] plusmn which is outlined below Aswith any acid test the aim here was to craft a vigorous and conclusive test toestablish worth and value

The point to note from this final explanation for the fog is that organisationsare shaped by multiple identities ` Dr Balmerrsquos AC2ID Test2 rsquorsquo[3] reveals onelens by which multiple identities may be revealed Another is the researchundertaken by Balmer and Wilson (1998) Their research revealed thatorganisations consist of an amalgam of organisational professional nationaland other forms of identity The implication flowing from the above is thatrevealing examining and managing a business identity is a complex and time-consuming activity

Seeing through and avoiding the fogThe irony of The Times headline ` Fog in channel plusmn Europe isolatedrsquorsquo is not somuch that Europe was isolated or that England was isolated but that manysides were cut off Using the fog metaphor for business identity studies itbecomes apparent many scholars have to date been cut off from otherdisciplinary philosophical and national schools relating to business identity

There is the additional danger that identity scholars might become ` cut offrsquorsquoby failing to draw on the relevant literature which has existed since the 1950sOver time the business identity literature has the potential to acquire increasedbreadth and depth Table V reflects the above point It shows how many of the

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

References

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Aberg L (1990) ` Theoretical model and praxis of total communicationsrsquorsquo International PublicRelations Review Vol 13 No 2

Abratt R (1989) ` A new approach to the corporate image management processrsquorsquo Journal of MarketingManagement Vol 5 No 1 pp 63-76

Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

Corporate identitybranding and

marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

EuropeanJournal ofMarketing3534

288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 30: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

Corporate identitybranding and

marketing

277

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

1T

erm

inol

ogy

Yes

C

once

pts

refe

rto

the

nat

ure

ob

ject

ives

an

dm

anag

emen

tof

iden

tity

Yes

P

arti

cula

rly

wit

hre

gar

dto

mar

ket

ing

and

organ

isat

ional

beh

avio

ur

The

nee

dto

tran

scen

ddis

ciplinar

ybou

ndar

ies

Yes

T

he

nat

ure

re

lati

onsh

ipan

dm

anag

emen

tof

the

dom

ain

vis-

aAacute-v

isin

div

idual

conce

pts

2P

arad

igm

atic

vie

ws

Yes

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

Var

ious

plusmnre

flec

tsth

etr

adit

ions

ofin

div

idual

rese

arch

par

adig

ms

3M

ult

ifar

ious

dis

ciplinar

yper

spec

tives

Yes

Id

enti

tyis

sues

oper

ate

atdif

fere

nt

level

sw

ithin

organ

isat

ions

and

are

ofeq

ual

conce

rnto

gra

phic

des

igner

sas

wel

las

toC

EO

s

Yes

F

igure

1is

self

-expla

nat

ory

The

salien

cyan

dce

ntr

alit

yof

the

iden

tity

conce

pts

Yes

4E

lem

ents

ofa

busi

nes

sid

enti

tyvi

s-aAacute-v

isth

eel

emen

tsre

quir

edof

its

man

agem

ent

Yes

Yes

The

fundam

enta

ldif

fere

nce

bet

wee

n(a

)th

eel

emen

tsco

mpri

sing

anid

enti

ty(b

)th

eel

emen

tsto

be

consi

der

edre

its

man

agem

ent

Yes

P

rovid

estw

ofu

ndam

enta

lre

sear

chfo

ci

5D

iffe

ring

obje

ctiv

esY

esY

esD

isci

plinar

yap

pro

aches

tend

tobe

nar

row

lyco

nce

ived

The

var

ious

types

ofch

ance

pro

gra

mm

ean

ddis

ciplinar

yco

nce

pts

reth

eid

enti

tyco

nce

pts

Yes

Sal

iency

ofth

eid

enti

tyco

nce

pts

toa

var

iety

ofor

gan

isat

ional

conce

pts

6A

nglo

phon

ean

dnon

-Anglo

phon

edia

logue

Yes

Yes

D

isti

nct

appro

aches

found

invar

ious

nat

ional

gro

upin

gs

for

inst

ance

the

nat

ions

ofth

eol

dC

omm

onw

ealt

h

Pra

ctit

ioner

dis

ciplinar

ym

ethod

olog

ical

and

ped

agog

ical

insi

ghts

Yes

M

arsh

allingb

uildin

gon

thes

edis

tinct

trad

itio

ns

appro

aches

(con

tinued

)

Table VThe 15 ways of seeing

through the fog rebusiness identity

corporate marketing

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

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marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

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288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 31: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

EuropeanJournal ofMarketing3534

278R

easo

nIn

dic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

7D

iffe

rent

dis

ciplines

Yes

Yes

Sal

iency

ofco

nce

pts

Yes

M

ult

i-dis

ciplinar

y

collab

orat

ive

rese

arch

8G

raphic

des

ign

(im

por

tance

ofhum

anse

nse

s)

Yes

W

hen

pla

ced

inth

eco

nte

xt

that

all

the

sense

sar

eim

por

tant

Yes

A

sper

colu

mn

1T

he

indiv

idual

impor

tance

ofth

ese

nse

sto

var

ious

organ

isat

ional

types

Yes

P

ossi

bilit

ies

reth

eroAtilde

le(s

)of

indiv

idual

sense

sre

busi

nes

sid

enti

ty9

Eff

ect

offa

shio

nN

oN

oN

oY

esU

nder

stan

din

gth

efa

ctor

sw

hic

hca

use

pra

ctit

ioner

sto

embra

ce

dro

pa

conce

pt

10P

osit

ivis

tic

rese

arch

par

adig

mN

AN

AU

niv

ersa

lla

ws

rebusi

nes

sid

enti

tyY

esB

uildin

gon

case

-stu

dy

rese

arch

and

other

`qual

itat

iversquo

rsquoap

pro

aches

11P

auci

tyof

empir

ical

rese

arch

Yes

D

iffi

cult

ingai

nin

gac

cess

indic

ativ

eof

the

sensi

tivit

y

pol

itic

alnat

ure

ofid

enti

tych

ange

pro

gra

mm

es

NA

NA

Yes

12F

ocus

onhol

din

gco

mpan

ies

Yes

T

he

var

ious

form

sof

busi

nes

sid

enti

ties

NA

Var

ious

types

ofbusi

nes

sid

enti

ties

plusmnsu

bsi

dia

ryan

dsu

per

organ

isat

ional

T

hei

rnat

ure

st

ruct

ure

and

man

agem

ent

Yes

plusmnver

yw

ide

13A

nglo

-Sax

onem

phas

isY

es

Lit

tle

atte

nti

ongiv

ento

non

Anglo

-Sax

onbusi

nes

sst

ruct

ure

s

NA

The

salien

cyof

the

iden

tity

conce

pt

philos

ophy

ina

glo

bal

conte

xt

Adap

ting

the

iden

tity

iden

tity

mix

acco

rdin

gly

Yes

plusmnver

yw

ide

(con

tinued

)

Table V

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

eco

mple

xit

yof

iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

oper

atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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Aberg L (1990) ` Theoretical model and praxis of total communicationsrsquorsquo International PublicRelations Review Vol 13 No 2

Abratt R (1989) ` A new approach to the corporate image management processrsquorsquo Journal of MarketingManagement Vol 5 No 1 pp 63-76

Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

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marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

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288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 32: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

Corporate identitybranding and

marketing

279

Rea

son

Indic

ativ

eof

com

ple

xit

yra

ther

than

confu

sion

Indic

ativ

eof

am

ult

idis

ciplinar

yap

pro

ach

Insi

ghts

wit

hre

gar

dto

Res

earc

hpos

sibilit

ies

14M

odel

sY

esP

oten

tial

lyw

hen

pla

ced

inth

eco

nte

xt

ofth

eem

ergen

tlite

ratu

re

Yes

plusmnas

per

colu

mn

1C

omple

xit

yan

dm

ult

idis

ciplinar

ynat

ure

ofid

enti

tyit

sfo

rmat

ion

and

man

agem

ent

Yes

M

ost

mod

els

are

conce

ptu

al

15A

ctual

com

munic

ated

co

nce

ived

id

eal

and

des

ired

iden

titi

es

Yes

R

evea

lsth

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mple

xit

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iden

tity

chan

ge

pro

gra

mm

esplusmn

sever

aldif

fere

nt

iden

tity

types

nee

dto

be

revea

led

All

iden

tity

types

shou

ldbe

inal

ignm

ent

Yes

The

nee

dto

revea

lth

efi

ve

iden

tity

types

asper

colu

mn

1

Yes

W

ith

regar

dto

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atio

nal

isin

g`D

rB

alm

errsquos

AC

2ID

test

2[3

]C

ase

study

wor

kw

ould

seem

tobe

appro

pri

ate

Table V

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

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ryplusmn

legac

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llia

nce

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subsi

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pan

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ies

Eplusmn

What

the

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ted

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ing

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(b)

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ns

(wor

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)

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ITIE

Shel

dby

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gro

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(a)

Org

anis

atio

nal

iden

tity

iden

tifi

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orpor

ate

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ated

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corp

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ecu

lture

(som

etim

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wit

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orat

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enti

ty)

(See

`Hrsquorsquo

abov

e)

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ple

a

Per

sonal

ity

Var

ious

sub

cult

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lgro

ups

incl

udin

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new

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dia

rydep

artm

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Nat

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lture

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the

organ

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DO

ES

(a)

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por

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iden

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(b)

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ate

pro

file

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duct

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rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

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cepti

onof

per

form

ance

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ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

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isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

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por

ate

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e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

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bra

nd

(d)

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keh

older

theo

ryP

erce

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gP

eople

a

Incl

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(a)

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are

curr

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per

cepti

ons

ofth

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gan

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(im

age)

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gkey

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ehol

der

s(b

)dat

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tper

form

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know

ledge

bel

iefs

and

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tati

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ofth

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gan

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(rep

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tion

)an

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ue

ofth

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rpor

ate

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ndIn

div

idual

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ups

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wor

ks

whic

htr

ansc

end

trad

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nal

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rnal

exte

rnal

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isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

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marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

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288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 33: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

EuropeanJournal ofMarketing3534

280

15 reasons for the fog outlined in this article may upon further reflection beindicative of business identityrsquos complexity and multidisciplinary nature

In addition many of the 15 explanations offer insights regarding thesaliency of the identity concept to various management disciplines Anglo-Saxon European and Asian business structures and organisations of everyhue This includes virtual organisationsbrands such as airline alliancesTable V also outlines the various research possibilities afforded by each of the15 points What is clear is that the 15 points in their totality reveal theimportance of the identity concept and bring to mind Gioiarsquos remark (1998p 17) that

The concept of identity which is germane to conceiving what it is to be human also is centralto conceptualisation of one of the most complex and fascinating of human creations the workorganisation

What is a business identity What is a corporate brandSo what is business identity and how does it relate to or differ from anorganisationrsquos corporate brand Drawing on Table IV and the thirdexplanation outlined earlier the following definition is offered vis-aAacute -vis thecharacteristics of identity

An organisationrsquos identity is a summation of those tangible and intangible elements thatmake any corporate entity distinct It is shaped by the actions of corporate founders andleaders by tradition and the environment At its core is the mix of employeesrsquo values whichare expressed in terms of their affinities to corporate professional national and otheridentities It is multidisciplinary in scope and is a melding of strategy structurecommunication and culture It is manifested through multifarious communications channelsencapsulating product and organisational performance employee communication andbehaviour controlled communication and stakeholder and network discourse

The above definition may be seen to complement the influential view of Albertand Whetten (1985) who noted the saliency of identity in that it is centraldistinctive and enduring (CDE) In the authorrsquos estimation the driving forcesof identity are ` L V T Ersquorsquo

L plusmn Leadership (CEO and board-level)

V plusmn Values

T plusmn Tradition

E plusmn Environment

With regard to Albert and Whettenrsquos definition it is felt that the word` evolvingrsquorsquo might perhaps replace ` enduringrsquorsquo Albert and Whettenrsquos definitionis perhaps a too rigid interpretation of the concept The authorrsquos perspectivealso mirrors the view of Gioia and Thomas (1996) who took issue with Albertand Whettenrsquos view that a business identity was enduring These authors alsohad doubts as to whether identity was distinctive It appears that most scholarsagree that identity is a central concept to organisations of every type

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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Abratt R (1989) ` A new approach to the corporate image management processrsquorsquo Journal of MarketingManagement Vol 5 No 1 pp 63-76

Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

Corporate identitybranding and

marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

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288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 34: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

Corporate identitybranding and

marketing

281

With relation to the defining characteristics of a corporate brand and itsrelationship to corporate identity the following explanation is offered

A corporate brand involves the conscious decision by senior management to distil and makeknown the attributes of the organisationrsquos identity in the form of a clearly defined brandingproposition This proposition underpins organisational efforts to communicate differentiateand enhance the brand vis-aAacute -vis key stakeholder groups and networks A corporate brandproposition requires total corporate commitment to the corporate body from all levels ofpersonnel It requires senior management fealty and financial support On going managementof the corporate brand resides with the chief executive officer and does not fall within theremit of the traditional directorate of marketing

The three virtues of corporate brands are that they

(1) C = Communicate

(2) D = Differentiate

(3) E = Enhance

The corporate brand proposition may be used as a template for evaluating anorganisationrsquos activities in line with the corporate brand proposition

Table VI compares the attributes of corporate brands with product brandsthere are crucial differences between the two major branding categories and itis important to note the differences

Rethinking marketing who are the organisationrsquos customersFrom a marketing perspective it becomes apparent that the traditional focuson the external environment controlled communications branding visualidentification and image-research have for the main part focused on product-level rather than on corporate-level concerns

However over recent years marketing scholars have begun to focus oncorporate concerns to a greater degree than hitherto Along with such moveshas been recognition of the importance of personnel and more importantly theimportance of culture As with other scholars the question of culture hasconfronted marketing scholars with important epistemological and ontologicalissues

A shift towards corporate level concerns is evinced by several ascendantareas of marketing such as relationship marketing services marketing

Table VIA comparison betweencorporate and product

brands

Product brands Corporate brands

Management Middle manager CEOResponsibility Middle manager All personnelCognate discipline(s) Marketing Strategymulti disciplinaryCommunications mix Marketing communicator Total corporate communicationsFocus Mainly customer Multiple Internal and external

stakeholder groups and networksValues Mainly contrived Those of founder(s) + mix of

corporate + other sub-cultures

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

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Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

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Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

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Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

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Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

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Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

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Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

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Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

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marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

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288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

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Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

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Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 35: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

EuropeanJournal ofMarketing3534

282

international marketing marketing for non-profits integrated marketingcommunications corporate public relations and more acutely in relation tocorporate and to services branding The author is of the view that thesedevelopments may point the way to the emergence of a new marketing andmanagement paradigm entitled corporate marketing studies

It is worth noting that implicit and explicit references to corporate marketing(organisational marketing) in the marketing literature is far from new Wellover 30 years ago Kotler and Levy (1969) concluded that the marketing conceptshould be broadened to cover any entity In a more recent article by Kotler andMindak (1978) it was argued that there should be a marriage betweenmarketing and public relations

The later article provided means by which marketing could beaccommodated at the corporate level Kotler has also been concerned with whathe calls a companyrsquos marketing image which he argued improved attitudestowards an organisation by stakeholder groups (Barich and Kotler 1991)British writers have also mirrored their North American colleagues inemphasising the importance of corporate concern

One author of note with regard to corporate marketing is the Englishcorporate communications writer and consultant David Bernstein Bernstein(1984 pp 146-55) concluded that the integration of corporate philosophyidentity and image would form the basis of a new area which he calledorganisational marketing

Several leading UK marketing scholars have also focussed on corporateconcerns in relation to ` excellentrsquorsquo companies and stakeholder relations Theneed for organisations to engage in relationships with a plethora ofstakeholders was the focus of research undertaken by Greenley and Foxall(1996) Doyle (1992) commenting on the nature of excellent companiesobserved that there is a tendency to over-simplify the question of shareholdervalue and to confuse the de jure and de facto ownership of a business Heargued that the long-running success and viability of an organisation dependsupon the capacity to satisfy a coalition of stakeholders Doylersquos conclusion maybe regarded as one of the key objectives of corporate marketing managementWhat is becoming increasingly apparent is that an organisationrsquos customersare not simply the end users of products plusmn they include other constituencies andeven in the estimation of the author include those stakeholder groups of thefuture who are not yet born The recent statement by the Anglo-Dutch ShellGroup reflects the broader perspective regarding organisational customers

We cannot be accountable solely to our shareholders or customers Our business touches toomany lives for us to evade our wider roAtildele in society We must communicate our values anddemonstrate that we live up to them in our business practices (in Lewis 2000)

The above quote may be seen to mirror some of the key attributes of effectivebusiness identity and corporate identity articulated earlier and alsoencapsulates the basic philosophy underpinning corporate marketing asenvisaged by the author This will be discussed in the next section

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

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Abratt R (1989) ` A new approach to the corporate image management processrsquorsquo Journal of MarketingManagement Vol 5 No 1 pp 63-76

Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

Corporate identitybranding and

marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

EuropeanJournal ofMarketing3534

288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 36: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

Corporate identitybranding and

marketing

283

Rethinking marketing rethinking the corporate marketing mixAt this point in time with the lifting of the fog it is possible to see a bridging ofthe divide between management disciplines This is leading to the cross-fertilisation of ideas and insights between disciplinary national and ontologicaltraditions The same process appears to be taking place within marketingQuestions of corporate brand and corporate reputation management haveemerged as major concerns for organisations and their senior management

There is renewed interest in stakeholder theory and an increased emphasisin corporate rather than marketing communications There is also a broadeningof the marketing concept Table VII contrasts the conceptualisations ofcorporate marketing with McGee and Spirorsquos (1990) conceptualisation ofmarketing

Marketing and communication scholars have mirrored these developmentsIn recent years there have emerged distinct corporate identity corporatecommunication (total corporate communication) mixes The corporatemarketing mix has received little attention with the exception of Balmer(1999a) Balmer extended McCarthyrsquos (1960) four Ps to ten Ps so as toencompass the myriad elements which need to be orchestrated when themarketing concept is applied at the corporate level (see Appendix 2) Howeverthere is a problem with this mix in that unlike McCarthys four Ps the ten Ps aredifficult to recall

Table VIIThe major components

of marketing andcorporate marketing

Major components of marketing(McGee and Spiro 1990)

Major components of corporatemarketing (authorrsquos conceptualisation)

Orientation CustomerUnderstanding customer wantsneeds and behaviours

StakeholdersUnderstanding present and futurestakeholdersrsquo wants needs andbehaviours

Organisationalsupport

Co-ordinated organisationalactivitiesUndertaken to support customerorientation elicited above

Co-ordinated organisational activitiesUndertaken to support stakeholderorientation elicited above

End focus Profit orientationFocus on profit rather than onsales (needs to be adapted fornot-for-profit organisations)

Value creationProfit maximisation is a primary butis not the only focus also includesbusiness survival as well as temperingthe above where appropriate inmeeting

Societalobligations

Community welfareAn obligation to meet consumersrsquoand societyrsquos long term interests

Future stakeholder and societal needsBalancing current stakeholder andsociety needs with those of the futureshowing sensitivity to organisationalinheritance where applicable (mutualspartnerships etc)

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

References

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Aberg L (1990) ` Theoretical model and praxis of total communicationsrsquorsquo International PublicRelations Review Vol 13 No 2

Abratt R (1989) ` A new approach to the corporate image management processrsquorsquo Journal of MarketingManagement Vol 5 No 1 pp 63-76

Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

Corporate identitybranding and

marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

EuropeanJournal ofMarketing3534

288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 37: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

EuropeanJournal ofMarketing3534

284

Table VIIIHEADS2 plusmn a newcorporate marketingmix

HE

AD

S2

Applica

ble

conce

pts

Ori

gin

alco

rpor

ate

mar

ket

ing

mix

elem

ents

`10P

srsquorsquo

Lis

tof

elem

ents

Hplusmn

What

the

organ

isat

ion

HA

SC

orpor

ate

iden

tity

Philos

ophy

Org

anis

atio

nal

stru

cture

vis-

aAacute-v

issu

bsi

dia

ries

busi

nes

sunit

sH

isto

ryplusmn

legac

yA

llia

nce

san

dpar

tner

ship

spro

per

tyan

deq

uip

men

tco

rpor

ate

subsi

dia

ries

and

corp

orat

e(a

nd

corp

orat

ebra

nds)

re

puta

tion

pro

duct

bra

nds

stak

ehol

der

(com

pan

y)

inte

rest

inot

her

com

pan

ies

Eplusmn

What

the

organ

isat

ion

EX

PR

ESSE

S

(a)

Inte

gra

ted

mar

ket

ing

com

munic

atio

ns

(b)

Cor

por

ate

com

munic

atio

ns

(c)

Tot

alC

orpor

ate

Com

munic

atio

ns

(d)

Cor

por

ate

PR

Pro

mot

ion

Inte

gra

ting

pri

mar

y(p

roduct

sse

rvic

es)

seco

ndar

y(f

orm

alco

mm

unic

atio

n)

tert

iary

com

munic

atio

ns

(wor

dof

mou

ths

pin

)

Aplusmn

What

are

the

dom

inan

tm

ixof

AF

FIN

ITIE

Shel

dby

emplo

yee

gro

ups

(a)

Org

anis

atio

nal

iden

tity

iden

tifi

cati

on(b

)C

orpor

ate

per

sonal

ity

(c)

Dif

fere

nti

ated

vie

wof

corp

orat

ecu

lture

(som

etim

essu

bsu

med

wit

hin

corp

orat

eid

enti

ty)

(See

`Hrsquorsquo

abov

e)

Peo

ple

a

Per

sonal

ity

Var

ious

sub

cult

ura

lgro

ups

incl

udin

gco

rpor

ate

(old

new

as

cendan

tsu

bsi

dia

rydep

artm

enta

l)

Nat

ional

reg

ional

loc

alan

dpro

fess

ional

su

bcu

lture

san

dso

on

Dplusmn

What

the

organ

isat

ion

DO

ES

(a)

Cor

por

ate

iden

tity

(b)

Cor

por

ate

pro

file

Pro

duct

P

rice

P

lace

P

erfo

rman

ceIn

cludes

all

elem

ents

ofM

cCar

thyrsquos

mix

wit

hth

eex

cepti

onof

per

form

ance

M

ixel

emen

tsre

quir

ea

radic

alre

thin

kin

gso

asto

enco

mpas

sor

gan

isat

ional

conce

rns

Splusmn

How

the

organ

isat

ion

isSE

EN

by

key

ST

AK

EH

OL

DE

Rgro

ups

and

net

wor

ks

(a)

Cor

por

ate

imag

e(b

)C

orpor

ate

reputa

tion

(c)

Cor

por

ate

bra

nd

(d)

Sta

keh

older

theo

ryP

erce

pti

onP

osit

ionin

gP

eople

a

Incl

udes

(a)

dat

are

curr

ent

per

cepti

ons

ofth

eor

gan

isat

ion

(im

age)

and

organ

isat

ional

awar

enes

s(p

rofi

le)

amon

gkey

stak

ehol

der

s(b

)dat

are

pas

tper

form

ance

know

ledge

bel

iefs

and

expec

tati

ons

ofth

eor

gan

isat

ion

(rep

uta

tion

)an

dper

cepti

ons

ofth

esa

lien

cyval

ue

ofth

eco

rpor

ate

bra

ndIn

div

idual

sgro

ups

and

net

wor

ks

whic

htr

ansc

end

trad

itio

nal

inte

rnal

exte

rnal

organ

isat

ional

bou

ndar

ies

Note

aP

eople

=fa

lls

into

two

cate

gor

ies

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

References

Aaker DA (1996) Building Strong Brands The Free Press New York NY

Aberg L (1990) ` Theoretical model and praxis of total communicationsrsquorsquo International PublicRelations Review Vol 13 No 2

Abratt R (1989) ` A new approach to the corporate image management processrsquorsquo Journal of MarketingManagement Vol 5 No 1 pp 63-76

Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

Corporate identitybranding and

marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

EuropeanJournal ofMarketing3534

288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 38: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

Corporate identitybranding and

marketing

285

They are in many regards fundamentally different than the original four Ps inthat typically each P is broader in scope As a means of circumventing thisproblem and with the didactic needs of marketing faculty in mind a new mixhas been created forming the mnemonic HEADS2 (S encompasses twoelements) Table VIII outlines the six elements forming the HEADS2 mnemonicand places this alongside Balmerrsquos original ten Ps it also shows theinterdisciplinary nature of corporate marketing The author is in no doubt thatthe corporate marketing mix will require further reflection and re-working

ConclusionTo date the horizons of business identity and corporate marketing studieshave appeared to be fuzzy and obscured by fog It is hoped that this article willenable scholars to be aware of the reasons for the fog and perhaps to continueto account for this in their quest to see the vast and imposing sky whichrepresents the domain of corporate marketing studies What is clear from theliterature is that a growing number of management scholars no longer viewbusiness identity as a chimera but rather as a crucial research activity which isof strategic import in that it helps to comprehend an entityrsquos quintessence

The author hopes that this article has made a contribution to the generaldiscussion regarding business identity and corporate marketing Clearly thereis scope for further debate As Churchill (1942) remarked this is not the endbut is perhaps the end of the beginning

Notes

1 The Thunderer the traditional nickname assigned to The Times of London newspaper

2 The research was undertaken as part of `The Transatlantic Identity Studyrsquorsquo which wassponsored by the Anglo-American branding consultancy Enterprise IG The ACID Test ofCorporate Identity Management2 has been successfully used on a number of majorcorporate branding projects see Allen (2000)The author gratefully acknowledges the support given by Enterprise IG and the

assistance given by his research assistant Mr Guillaume Soenen The author is alsoindebted to Professor Stephen A Greyser (Harvard Business School) who generouslyserved as special advisor to this study

3 The ACID Test of Corporate Identity Management2 plusmn JMT Balmer 1998 Dr BalmerrsquosAC2ID Test2 plusmn JMT Balmer 1999

References

Aaker DA (1996) Building Strong Brands The Free Press New York NY

Aberg L (1990) ` Theoretical model and praxis of total communicationsrsquorsquo International PublicRelations Review Vol 13 No 2

Abratt R (1989) ` A new approach to the corporate image management processrsquorsquo Journal of MarketingManagement Vol 5 No 1 pp 63-76

Albert S and Whetten D (1985) ` Organisational identityrsquorsquo in Cummings LC and Staw BM (Eds)Research in Organisational Behaviour Vol 7 JAI Press Greenwich CT pp 263-95

Allen D (2000) ` The ACID Test2 plusmn a communications tool for leadership teams who want to interactwith the whole organisationrsquorsquo The Journal of Brand Management Vol 7 No 4 pp 257-66

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

Corporate identitybranding and

marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

EuropeanJournal ofMarketing3534

288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 39: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

EuropeanJournal ofMarketing3534

286

Ashforth BE and Mael F (1989) ` Social identity theory and the organisationrsquorsquo Academy ofManagement Review Vol 14 pp 20-39

Baker MJ and Balmer JMT (1997) ` Visual identity trappings or substancersquorsquo special edition onCorporate Identity of the European Journal of Marketing Vol 5 and 6 No 3 pp 366-82

Balmer JMT (1995) ` Corporate branding and connoisseurshiprsquorsquo Journal of General ManagementVol 21 No 1 pp 24-46

Balmer JMT (1996) ` The nature of corporate identity an exploratory study undertaken with BBCScotlandrsquorsquo unpublished PhD thesis University of Strathclyde

Balmer JMT (1998) ` Corporate identity and advent of corporate marketingrsquorsquo Journal of Marketing

Management Vol 4 pp 963-96

Balmer JMT (1999a) ` Corporate identityrsquorsquo in Baker MJ (Ed) Encyclopaedia of Marketing IEBMthomson business Press London pp 732-46

Balmer JMT (1999b) ` Corporate brands avoiding the deadly sinsrsquorsquo working paper InternationalCentre for Corporate Identity Studies Department of Marketing University of Strathclyde

Balmer JMT (2000) ` The seven deadly sins of corporate brand managementrsquorsquo unpublished keynoteaddress CBI Seminar on Branding and Identity Bradford Management Centre 24 February

Balmer JMT and Gray ER (1999) ` Corporate identity and corporate communication creating astrategic advantagersquorsquoCorporate Communications An International Journal Vol 4 No 4pp 171-6

Balmer JMT and Soenen GB (1999) ` The acid test of corporate identity management2 rsquorsquo Journal of

Marketing Management Vol 15 Nos 1-3 pp 69-92

Balmer JMT and Stotvig S (1997) ` Corporate identity and private banking a review and casestudyrsquorsquo International Journal of Banking special edition on Corporate identity in financialservices Vol 15 No 5 pp 169-84

Balmer JMT and Wilkinson A (1991) ` Building societies change strategy and corporate identityrsquorsquoJournal of General Management Winter Vol 17 No 2 pp 20-33

Balmer JMT and Wilson A (1998) ` Corporate identity there is more to it than meets the eyersquorsquoInternational Studies of Management and Organisations Vol 28 No 3 pp 12-31

Barich H and Kotler P (1991) ` A framework for marketing image managementrsquorsquo Sloan Management

Review Winter pp 94-104

Bernstein D (1984) Company Image and Reality Rinehart and Winston Eastbourne

Birkigt K and Stadler M (1986) Corporate Identity Grundiagen Funktionen und Beispoelen VerlagModerne Industrie Landsberg am Lech

Boorstein DJ (1961) The Image Pelican Gretna LA

Boulding K (1956) The Image University of Michigan Press Ann Arbor MI

Bristol LH (1960) Developing the Corporate Image A Management Guide to Public RelationsScribner New York NY

Bromley DB (1993) Reputation Image and Impression Management John Wiley amp Sons ChichesterSussex

Brown TJ (1998) Corporate associations in marketing antecedents and consequencesrsquorsquo Corporate

Reputation Review Vol 1 No 3 pp 215-33

Budd J (1969) ` A mirror on the corporate imagersquorsquo SAM Advanced Management Journal Vol 34January pp 45-50

Caruana A and Chircop S (2000) ` Measuring corporate reputation a case examplersquorsquo CorporateReputation Review Vol 3 No 1 pp 43-57

Chajet C and Schachtman T (1998) Image by Design 2nd ed McGraw-Hill New York NY

Corporate identitybranding and

marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

EuropeanJournal ofMarketing3534

288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 40: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

Corporate identitybranding and

marketing

287

Cheney G and Christensen LT (1999) ` Identity at issue linkages between internal and externalorganisational communicationrsquorsquo in Jablin FM and Putnam LL (Eds) New Handbook ofOrganisational Communication Sage Thousand Oaks CA

de Chernatony L (1999) ` Brand management through narrowing the gap between brand identity andbrand reputationrsquorsquo Journal of Marketing Management Vol 15 Nos 1-3 pp 157-80

Churchill W (1942) ` Speech on the progress of the war 10 Decemberrsquorsquo in Rees N (1995) Phrases andSayings Bloomsbury Publishing London p 48

Cova B and Aubert-Gamet V (1997) Exit voice loyalty and twist Consumer behaviour in search ofthe subject EIASM workshop on Integrated Consumer Research April Oxford England

Craven P (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15 No 2May

Deshpande R (1983) ` Paradigms lost on theory and method in research in marketingrsquorsquo Journal ofMarketing Vol 47 pp 79-89

Dowling GR (1986) ` Managing your corporate imagesrsquorsquo Industrial Marketing Management Vol 15No 2 May

Dowling GR (1993) ` Developing your image into a corporate assetrsquorsquo Long Range Planning Vol 26No 2 pp 101-9

Dowling GR (1994) Corporate Reputations Strategies for Developing the Corporate Brand KoganPage London

Doyle P (1992) ` What are the excellent companiesrsquorsquo Journal of Marketing Management Vol 18 No 2pp 101-16

Dutton J and Dukerich J (1991) ` Keeping an eye on the mirror image and identity in organizationaladaptationrsquorsquoAcademy of Management Journal Vol 34 pp 517-54

Dutton JE Dukerich JM and Harquil VV (1994) ` Organisational images and memberidentificationrsquorsquo Administrative Science Quarterly Vol 2 June pp 239-63

Elsbach KD and Kramer RM (1996) ` Members responses to organisational identity threatsencountering and countering the business weeks rankingrsquorsquo Administrative Science QuarterlyVol 41 pp 442-76

Fiol CM Hatch MJ and Golden-Biddle K (1999) ` Organisational culture and identity whatrsquos thedifference anywayrsquorsquo in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Fombrun C (1996) Reputation Realising Value from the Corporate Image Harvard Business SchoolPress Boston MA

Fombrun C and Van Riel CBM (1997) ` The reputational landscapersquorsquo Corporate Reputation ReviewVol 1 Nos 1 and 2 pp 5-13

Gill J and Johnson P (1991) Research Methods for Managers Paul Chapman London

Gioia DA (1998) in Whetten DA and Godfrey PC (Eds) Identity in Organisations SagePublications Thousand Oaks CA

Gioia DA and Thomas JB (1996) ` Image identity and issue interpretation sensemaking duringstrategic change in academiarsquorsquo Administrative Science Quarterly Vol 40 pp 370-403

Gray ER and Balmer JMT (1998) ` Managing corporate image and corporate reputationrsquorsquo Long

Range Planning Vol 31 No 5 pp 695-702

Gray ER and Smeltzer LR (1985) ` Corporate image plusmn an integral part of strategyrsquorsquo Sloan

Management Review Vol 26 No 4 pp 73-8

Gray J (1986) Managing the Corporate Image Quorum Books London

Greenley GE and Foxall GR (1996) ` Consumer and non-consumer stakeholder orientation in UKcompaniesrsquorsquo Journal of Business Research Vol 35 No 2 pp 105-16

EuropeanJournal ofMarketing3534

288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 41: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

EuropeanJournal ofMarketing3534

288

Gregory JR (1997) Leveraging the Corporate Brand NTC Business Books Lincolnwood IL

Greyser S (1999) in Corporate Communications an International Journal Vol 4 No 4 special editionon Corporate Identity pp 177-81

Grunig JE (1993) ` Image and substance from symbolic to behavioural relationshipsrsquorsquo PublicRelations Review Vol 19 No 2 pp 121-39

Hatch MJ and Schultz M (1997) ` Relations between organisational culture identity and imagersquorsquoEuropean Journal of Marketing special edition on Corporate identity Vol 31 No 56 pp 356-65

Henrion and Parkin (1967) Design Co-ordination and Corporate Image Studio Vosta London

Ind N (1992) The Corporate Image Kogan Page London

Ind N (1996) The Corporate Brand Macmillan London

Jenkins N (1991) The Business of Image Kogan Page London

Johansson JK and Hirano M (1999) ` Brand reality the Japanese perspectiversquorsquo Journal of Marketing

Management Vol 13 Nos 1-3 pp 93-106

Kammerer J (1989) Bietrag der Produkpolink Zur Corporate Identity GBI-Verlag MuEgravenchen

Kapferer JN (1992) Strategic Brand Management Kogan Page London

Kennedy SH (1977) ` Nurturing corporate images plusmn total communications or ego triprsquorsquo EuropeanJournal of Marketing Vol 11 pp 120-64

King S (1991) ` Brand building in the 1990srsquorsquo Journal of Marketing Management Vol 7 No 1 pp 3-13

Kotler P and Levy SJ (1969) ` Broadening the concept of marketingrsquorsquo Journal of Marketing Januarypp 10-15

Kotler P and Mindak W (1978) ` Marketing and public relations plusmn should they be partners or rivalsrsquorsquoJournal of Marketing Vol 42 October pp 13-20

Lewis S (2000) ` Letrsquos get this in perspectiversquorsquo unpublished presentation given by MORI at theConfederation of British Industry Seminar on Corporate Branding and Identity held at TheUniversity of Bradford Management Centre UK 24 February

Lindquist J (1974-1975) ` Meaning of imagersquorsquo Journal of Retailing Vol 50 No 4 Winter pp 29-38

Lux PGC (1997) ` Zur DurchfuEgravehrung von Corporate Identity Programmenrsquorsquo in Birkigt K andStadler M (Eds) Corporate Identity Grundlagen Funktionen und Beispielen Verlag Moderne

Industrie Landsberg am Lech

Macrae C (Ed) (1999) Journal of Marketing Management special edition on Brand reality Vol 15Nos 1-3

McCarthy EJ (1960) Basic Marketing A Managerial Approach Dow Jones Irwin Homewood IL

McGee LW and Spiro RK (1990) ` The marketing concept in perspectiversquorsquo Business Horizons Vol 31No 3 pp 40-5

Maathuis O (1999) ` Corporate branding the value of the corporate brand to customers andmanagersrsquorsquo unpublished PhD thesis Erasmus University Rotterdam

Mael F and Ashforth BE (1992) ` Alumni and their Alma Mater a partial test of the reformulatedmodel of organisational identificationrsquorsquo Journal of Organisational Behaviour Vol 13 pp 103-23

Markwick N and Fill C (1997) ` Towards a framework for managing corporate identityrsquorsquo European

Journal of Marketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 340-55

Martineau P (1958) ` Sharper focus for the corporate imagersquorsquo Harvard Business Review NovemberDecember pp 49-58

Melewar TC and Saunders J (1998) ` Global corporate visual identity systems standardizationcontrol and benefitsrsquorsquo International Marketing Review Vol 15 No 4 pp 291-308

Melewar TC and Saunders J (1999) ` International global visual identity standardisation orlocalisationrsquorsquo Journal of International Business Studies Vol 31 No 3 pp 583-98

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 42: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

Corporate identitybranding and

marketing

289

Mitsubishi Model of Corporate Identity (nd) Mitsubishi Japan

Moingeon B and Ramanantsoa D (1997) ` Corporate identity understanding the French school of

thoughtrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31 Nos 5and 6 pp 383-95

Morison I (1997) ` Breaking the monolithic mouldrsquorsquo International Journal of Bank Marketing specialedition on Corporate identity in financial services Vol 15 No 5 pp 153-62

Napoles V (1988) Corporate Identity Design Van Nostrand Reinhold New York NY

Olins W (1978) The Corporate Personality An Inquiry into the Nature of Corporate Identity DesignCouncil London

Olins W (1979) ` Corporate identity the myth and the realityrsquorsquo Advertising Summer No 60 pp 16-25

Olins W (1995) The New Guide to Identity Design Council Gower Aldershot

Oliver S (1997) Corporate Communication Kogan Page London

Pilditch J (1971) Communication by Design A Study in Corporate Identity McGraw-Hill Maidenhead

Schmidt C (1995) The Quest for Identity Cassell London

Selame E and Selame J (1975) The Company Image John Wiley amp Sons New York NY

Simpson N (1979) Corporate Identity Name and Perception The Conference Board New York NY

Smith PR (1993) Marketing Communications An Integrated Approach Kogan Page London

Sobol MG and Farrell Y (1988) ` Corporate reputation a function of relative size or financialperformancersquorsquo Review of Business and Economic Research Vol 24 No 1 pp 45-59

Spector AJ (1961) ` Basic dimensions of the corporate imagersquorsquo Journal of Marketing Vol 25 pp 47-51

Steidl P and Emory G (1997) Corporate Image and Identity Strategies Designing the Corporate

Future Business amp Professional Publishing Warriewood Australia

Stewart K (1991) ` Corporate identity a strategic marketing issuersquorsquo International Journal of Bank

Marketing Vol 9 No 1 pp 32-9

Stuart H (1998a) ` The effect of organisational structure on corporate identity managementrsquorsquo paperpresented at the 2nd International Conference on Corporate Reputation Identity and

Competitiveness Amsterdam

Stuart H (1998b) ` Exploring the corporate identitycorporate image interface an empirical study ofaccountancy firmsrsquorsquo Journal of Communication Management Vol 2 No 4 pp 357-71

Stuart H (1999a) ` The effect of organisational structure on corporate identity managementrsquorsquoCorporate Reputation Review Vol 2 No 2 pp 151-64

Stuart H (1999b) ` Towards a definitive model of the corporate identity management processrsquorsquoCorporate Communications an International Journal special edition on Corporate identity

Vol 4 No 4 pp 200-7

Tagiuri R (1982) ` The role of top management in identity managementrsquorsquo working paper Harvard

Business School

Tyrrell T (1995) ` Managing corporate identityrsquorsquo in Crainer J (Ed) The Financial Times Handbook of

Management FT Pitman Publishing London pp 442-50

Van Heerden CH and Puth G (1995) ` Factors that determine the corporate image of South Africanbanking institutions an explanatory investigationrsquorsquo International Journal of Bank Marketing

Vol 31 pp 340-55

Vankatesh A (1985) ` Is marketing ready for Kuhnrsquorsquo in Dholakia N and Arndt J (Eds) Changing the

Course of Marketing Alternative Paradigms for Widening Marketing Theory (Research in

Marketing Supplement 2) JAI Press Greenwich CT

Van Mannen (1985) Qualitative Methodology Sage London

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 43: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

EuropeanJournal ofMarketing3534

290

Van Rekom J (1997) ` Deriving an operational measure of corporate identityrsquorsquo European Journal ofMarketing special edition on Corporate identity Vol 31 Nos 5 and 6 pp 410-22

Van Riel CBM (1995) Principles of Corporate Communications Prentice-Hall London

Van Riel CBM and Balmer JMT (1997) ` Corporate identity the concept its measurement andmanagementrsquorsquo European Journal of Marketing special edition on Corporate identity Vol 31Nos 5 and 6 pp 340-55

Watershoot Van W (1995) ` The marketing mixrsquorsquo in Baker MJ (Ed) Companion Encyclopaedia ofMarketing Routledge London pp 433-49

Weigelt K and Camerer C (1988) ` Reputation and corporate strategy a review of recent theory andapplicationsrsquorsquo Strategic Management Journal pp 433-55

Whetten DA and Godfrey PC (1998) Identity in Organisation Sage Publications Thousand OaksCA

Wiedmann KP (1988) Corporate Identity als Unternehmensstrategie Weist 5 pp 236-42

Wilkinson A and Balmer JMT (1996) ` Corporate and generic identities lessons from theCo-operative Bankrsquorsquo International Journal of Bank Marketing Vol 14 No 4 pp 22-35

Worcester RM (1986) ` Corporate imagersquorsquo in Worcester B and Downham J (Eds) Consumer MarketResearch Handbook McGraw-Hill London pp 601-16

Worcester RM (1997) ` Managing the image of your bank the glue that bindsrsquorsquo The InternationalJournal of Bank Marketing special edition on Corporate identity in financial services Vol 15No 5 pp 146-52

Yin R (1984) ` Case study researchrsquorsquo in Gummesson E (Ed) (1991) Qualitative Methods inManagement Research Sage Publications London and Beverly Hills CA

Further reading

Academy of Management Review (2000) special edition on Identity and employee identification

Balmer JMT (Ed) (1999) Corporate Communications an International Journal special edition onCorporate identity Vol 4 No 4

Balmer JMT and Baker MJ (Eds) (1997) International Journal of Bank Marketing special edition onCorporate identity in financial services Vol 15 No 5

Balmer JMT and Van Riel CBM (Eds) (1997) European Journal of Marketing special edition onCorporate identity Vol 31 Nos 5 and 6

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix

Page 44: Corporate identity, corporate branding and corporate marketing · KeywordsCorporate identity, Corporate Communications, Brands, Corporate image AbstractOutlines 15 explanations for

Corporate identitybranding and

marketing

291

Appendix 1 The ICIGrsquoS statement on corporate identity

Appendix 2 The ten Ps of the corporate marketing mix

Table AIThe Strathclyde

Statement

Every organisation has an identityIt articulates the corporate ethos aims and values and presents a sense of individuality

that can help to differentiate the organisation within its competitive environment

When well managed corporate identity can be a powerful means of integrating themany disciplines and activities essential to an organisationrsquos success It can also providethe visual cohesion necessary to ensure that all corporate communications are coherentwith each other and result in an image consistent with the organisationrsquos defining ethos

and character

By effectively managing its corporate identity an organisation can build understandingand commitment among its diverse stakeholders This can be manifested in an ability

to attract and retain customers achieve strategic alliances gain the support of financialmarkets and generate a sense of direction and purpose

Corporate Identity is a strategic issue

Corporate identity differs from traditional brand marketing since it is concerned with allof an organisationrsquos stakeholders and the multi-faceted way in which an organisation

communicates

(This is a revised version of the original statement penned by the author along withother identity scholars and practitioners at Strachur Loch Fyne Argyl Scotland UK

on 17 and 18 February 1995)

Figure A1The ten Ps of the

corporate marketing mix