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

• Published in: International journal of business and administrative studies Vol. 5; no. 2; p. 63
• Main Authors: Pasaribu Shinta Marito, Mulyana Deden, Rinandiyana R. Lucky Radi, Rahmat, Taufiq Adhitya
• Format: Journal Article
• Language: English
• Published: Davie KKG Publications 26.04.2019
• Subjects: Brand identification; Cities; Competitive advantage; Consumers; Cultural values; Culture; Principles; Rural development; Target markets
• DOI: 10.20469/ijbas.5.10002-2
• ISSN: 2415-0541

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