Branding Strategies for Ritz Carlton and Hyundai

In this assignment, the branding strategies of Ritz Carlton and Hyundai are analyzed in detail. The paper highlights the key strengths and weaknesses of both organizations, including their innovative features, efficient design, and security measures. The authors also discuss how competitive set influences the profitability of these organizations and the need for them to expand their product lines to meet changing customer needs. Additionally, the paper explores how these organizations can move upmarket by fulfilling alternative objectives and determine appropriate business strategies to achieve this goal. Overall, the assignment emphasizes the importance of branding in the success of organizations like Ritz Carlton and Hyundai.

brand management

Ritz Carlton & Hyundai
Introduction
The Ritz-Carlton is considered as a famous hotel organization which is the parent company to
the luxury hotel chain. It operates in more than 91 luxury resorts and hotels across the 30
countries in the whole world. On the other hand, Hyundai is considered as a popular automobile
organization which specializes in manufacturing cars. In this paper, we will study about the
branding position of the Ritz Carlton & Hyundai in their different operating organizations.
Generally, it is considered that powerful brand images in the customer's mind with reputation
and brand image enhancing differentiation and thus having a positive effect on the buying
behavior of customers (Dinnie, 2015). Branding enhances the financial performance and long-
term competitive position in the organization. Thus, it can be said that branding plays a
significant role in the success of the organization.
Question 1
Brand Equity is considered as a common denominator that all brands of the organizations have.
It mainly represents the added value endowed to a product as a result of past investments in the
marketing activity of a particular brand. Keller’s model and Aaker’s model play an efficient role
in measuring brand equity.
Keller’s model of Ritz Carlton
It contributes major role in identifying the brand equity of an organization (Keller, 2016). Ritz-
Carlton brand equity can judge by using Keller's model in an efficient manner:
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Keller's customer-based brand equity model of Ritz Carlton
The Salience of the Ritz Carlton is clearly the Luxury hotel and Resorts. It is because the Ritz
Carlton consumers associate with the brand image of the luxury hotels and resorts of the
organization.
The imaginary of the luxury hotel and resorts is personality and values because it is the image
which the management of the organization want to be associated by sponsoring lots of that kind
of events.
The main performance claimed by the luxury hotel, and resorts are the luxury rooms, attractive
and plunge pools. It is because the luxury hotel and resorts of the organization are full of
enjoyment and attractiveness (Gürhan-Canli, 2016).
The feelings evoked in the mind of customers with that brand is freedom, fun, excitement, and
enjoyment.
The affective reaction of the consumers towards the brand is superiority because they provide
best services to its customers by satisfying their needs and dreams.
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Finally, the resonance of the organization is composed by attachment, engagement, and loyalty.
It is a strong brand and people are really a fan of the services offered by the organization.
Aaker’s Model for Ritz Carlton
David Aaker’s model of Brand Equity mainly determines the brand equity of an organization on
the basis of five components:
 Brand Loyalty: Brand loyalty of Ritz Carlton services creates loyalty in among customers
which ultimately attract new customers and also reduce its different costs related to the
marketing.
 Brand Awareness: It is an extent to which brand of Ritz-Carlton is known for the
audience which can be measured on the basis of familiarity and liking, and commitment
(Aaker, 2013).
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 Perceived Quality: It gives a glimpse of the quality of brand offered by Ritz-Carlton. It is
measured on the basis of place, price, product line, and level of differentiation.
 Brand association and Other Proprietary assets also play an important role. It is judged on
the basis of competitive advantage and brand differentiation of the organization.
Hyundai
Keller’s model of Hyundai
The Brand Equity model represent following fundamental questions asked by customers:
 Salience: Hyundai is a premium luxury car producer organization. Its logo can easily
recognise anywhere.
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 Performance: Hyundai cars are recognized for their safety. It has the ability to create the
most powerful engines with the attractive airbags and ABS system (Keller, 2016).
 Imagery: It is considered as the masculine brand. It is only because of attractive designs
of its cars and doesn't hesitate to communicate with it. Apart of it, excellence and
elegance are also cultivated.
 Judgments/Feelings: As per its history and features, Hyundai cars are judged high quality
and prestigious. Imagery and all steps arouse feelings like the sense of achievement,
success, and confidence.
 Brand Resonance: Even if, most of the person are not purchasing its car, yet they are
attached to Hyundai through clubs, websites and social media.
Aaker’s Model for Hyundai
After studying both models, it can be said that the main strength of the Ritz Carlton is its product
differentiation and its quality which make it different from the others. On the other hand, the big
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strength of the Hyundai is its innovative features and efficient design of its products. The
problem which may face by the organization in its near future is innovativeness because fast
changing in customer's perception and needs demands modern products and services which
should be delivered by the organization on an immediate basis (Aaker, 2014). On the other hand,
the potential problem in front of the Hyundai is its security and design features which should be
there in every product. Security features ensure the long-term capability of the organization.
Question 2
Network Model of Memory for Ritz Carlton
It is considered the most famous model of memory. In this model, the different types of network
nodes represent concepts and arcs are linkages between concepts (Okonkwo, 2016). These arcs
and nodes represent the strengths and weaknesses of Ritz Carlton and Hyundai due to which they
are strongly recognized in their existing markets.
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Hyundai
Network model for Hyundai
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Question 3
Competitive set influences the profitability of Ritz Carlton and Hyundai in the highest manner.
Due to the availability of large level of competitors, the organizations need to improve their
services and also need to improve their product offerings with interesting packages. As per the
change in upmarket, level of competition also growing because people expect better services
than the others and they mostly like differentiated products and services which are not offered by
others (Gómez, 2015). In the same manner, priming and context effects also influence the
organizations in a larger extent. These changes are changed with the upmarket move because the
change in upmarket alters the overall products and services offered by the both organizations to
their customers. To manage all the changes, the organizations should expand their product line so
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that they can enhance their number of offerings to their target customers. This will help the
organizations in surviving for a long time.
Question 4
Both organizations Hyundai and Ritz Carlton can move their upmarket fare by fulfilling their
alternate objectives. At the upmarket fare, the main objective of the Ritz Carlton is line extension
by reinventing itself, and the main objective of Hyundai is enhanced its profit level by launching
Eqqus. They may face different types of problems in fulfilling all their objectives. It is necessary
for both organizations to determine appropriate business strategies which can guide them in
fulfilling their objectives (Recanatesi, 2015). The main problem which may arise in front of Ritz
Carlton is poor implementation plan of its different reinvent facilities. This may change the
overall profitability structure of the organization. On the other hand, the potential problem in
front of Hyundai is unpredictable external factors which can influence the product quality of the
organization.
Conclusion
After studying all this, it can be concluded that branding plays an important role in the success of
the organizations. Today, Hyundai dealings in different brands which make it successful in their
existing markets (Aaker 2012). In the same manner, Brand image of Ritz Carlton makes it
successful in attracting a large number of customers which enhance its profit generating capacity.
Having a brand is necessary for every organization because they make the goodwill of the
organization in the eyes of different customers.
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References
Dinnie, K. (2015). Nation branding: concepts, issues, practice. Routledge.
Okonkwo, U. (2016). Luxury fashion branding: trends, tactics, techniques. Springer.
Recanatesi, S., Katkov, M., Romani, S., & Tsodyks, M. (2015). Neural Network Model of
Memory Retrieval. Frontiers in computational neuroscience, 9.
Gómez, M., Lopez, C., & Molina, A. (2015). A model of tourism destination brand equity: The
case of wine tourism destinations in Spain. Tourism Management, 51, 210-222.
Keller, K. L. (2016). Reflections on customer-based brand equity: perspectives, progress, and
priorities. AMS Review, 1-16.
Gürhan-Canli, Z., Hayran, C., & Sarial-Abi, G. (2016). Customer-based brand equity in a
technologically fast-paced, connected, and constrained environment. AMS Review, 1-10.
Aaker, D. A., & Biel, A. (2013). Brand equity & advertising: advertising's role in building
strong brands. Psychology Press.
Aaker, D. A., & Joachimsthaler, E. (2012). Brand leadership. Simon and Schuster.
Keller, K. L. (2016). Reflections on customer-based brand equity: perspectives, progress, and
priorities. AMS Review, 1-16.
Aaker, D. A. (2014). Buliding and Managing Brand Equity. DA Aaker, Strategic Market
Management, 10, 150-165.
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