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

Pasaribu Shinta Marito ,Rinandiyana R Lucky Radi ,Mulyana Deden ,Taufik Rahmat

doi:10.20469/ijbas.5.10002-2

Pasaribu Shinta Marito , Rinandiyana R Lucky Radi + Show 2 more

Open Access

https://doi.org/10.20469/ijbas.5.10002-2

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Abstract

The objective of this research is to build brand identity through a 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 results of the analysis showed that value of culture has an effect on brand differentiation, brand differentiation has an effect on brand identity which means that stronger value of culture will show strong brand differentiation, the stronger the brand differentiation that will be formed the stronger brand identity. Locally-global product principle has an effect on the brand identity, which means that the better locally-global product principle, the stronger brand identity. While locally-global product principle has no effect on brand differentiation, which means that the stronger locally-global product principle does not form strong brand differentiation and value of culture has no effect on the brand identity, which means that stronger value of culture has not been able to build brand identity. One variable in this research is a renewable variable, namely Locally-global Product Principle obtained through the relevance of the theory of One Village One Product (OVOP) and it can be seen that each proposed indicator is accepted as a construct for locally-global product principle variables.

Highlights

Oita prefecture’s ‘One Village One Product’ (OVOP) movement provides an important model of success in regional development policy
The movement encouraged and empowered local citizens to unearth opportunities for economic growth and develop local industry with a global outlook. The principles behind this movement, and the efforts of the local citizens which sustained it, have attracted attention from across Japan and from many other Asian countries, and the movement is often presented as a new paradigm for regional development
Together with a historical review of the growth of the ‘OVOP movement as led by Oita prefecture, the paper will attempt to identify the unique characteristics of the movement as well as its limitations, and make proposals for how Japan’s experience with the movement may be applied in other parts of Asia

Summary

Introduction

Oita prefecture’s ‘One Village One Product’ (OVOP) movement provides an important model of success in regional development policy. The movement encouraged and empowered local citizens to unearth opportunities for economic growth and develop local industry with a global outlook. The principles behind this movement, and the efforts of the local citizens which sustained it, have attracted attention from across Japan and from many other Asian countries, and the movement is often presented as a new paradigm for regional development. This paper reviews the movement’s formative process and its subsequent development, with a view ascertaining its applicability to issues of regional development throughout Asia. Together with a historical review of the growth of the ‘OVOP movement as led by Oita prefecture, the paper will attempt to identify the unique characteristics of the movement as well as its limitations, and make proposals for how Japan’s experience with the movement may be applied in other parts of Asia

What is ‘One Village One Product’?

The ‘One Village One Product’ Movement in Oita

Applicability of the Oita Model

Significance of the Movement as Locally-Initiated International Cooperation