Large companies with multiple brands or business units can leverage value by cross-association between those brands or business units. One way with which companies do this is by creating an association between their brand visual identities. For example, Virgin derive value for new business units by employing an endorsed brand strategy. To do this, they use their logo beside another sub-logo or descriptor such as Atlantic or Media. The company FedEx use a slightly different way of transferring brand value known as master branding.
This approach results in multiple FedEx logos, each with a slight colour variation and each with a written service descriptor beside.
It was very likely that these global brands faced a similar strategic necessity to the Zomorrodi Trading Group. This historic company has developed several business units across semi-related categories throughout their many years of business. Although each business unit has claimed a level of dominance in their respective fields, some have been more successful at establishing this dominance than others. This situation has created two problems along the way, however. Firstly, some business units would negatively transfer brand value by incidental matters, such as lack of dominance in a category. Secondly, the Zomorrodi Trading Group brand architecture was never defined, which until recently led to miscommunications between respective business units.
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