Abstract
Firms operating in over-supply conditions cannot increase their sales not even through the price reduction as a lever. In such context the intangible assets become predominant and tend to direct the competition within different industries towards new, unstable competitive business models based on market-driven management. In fact, the firms have reconsidered their brand portfolio, often by intervening drastically on the number of brands possessed and selling some of them to third parties or, alternatively, abandoning taking into consideration strategic aspects of brand management and its costs. At the business unit level, the brand portfolios are subjected to numerous operations oriented to adapt supply to new competitive conditions.
Highlights
Since the early 80’s the condition of over-supply has become more prominent and typically referable to mature markets distinguished by demand saturation in quantitative terms
The companies operating in the over-supply conditions cannot increase their sales not even through the price reduction[1] as a lever
It is possible to witness a growing complexity of purchase and consumption aspects. In such context ‘the intangible assets become predominant and tend to direct the competition within different industries towards new, unstable competitive models based on intangible assets’[2]
Summary
Since the early 80’s the condition of over-supply has become more prominent and typically referable to mature markets distinguished by demand saturation in quantitative terms. The companies operating in the over-supply conditions cannot increase their sales not even through the price reduction[1] as a lever. It is possible to witness a growing complexity of purchase and consumption aspects. In such context ‘the intangible assets become predominant and tend to direct the competition within different industries towards new, unstable competitive models based on intangible assets’[2]. The brand, an intangible asset[3] par excellence (brand, design, pre/post sales services, etc.), is what has definitely drawn most attention and what, especially in the condition of over-supply, is retained critical. The transparency within the company organisation[6] is required at first, in order to communicate outside the corporate system afterwards through the brand or a set of brands
Sign-in/Register to view highlights & summary Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
