Kao Corporation

Kao Corporation

For Kao Corporation, the aim is to build a brand in the mind of the customers and deliver high quality products to all consumer groups. Leadership plays a crucial role in establishing principles of marketing, and controlling ethical and moral issues in strategy formulation. Kao Corporation perfectly copes with strategic goals and objectives in advertising, sales promotion and other thing with public relations in common. For Kao Corporation, there are different aims and different discussion regarding the fact whether the brand extension is good or bad. In most cases, as many experts say and as the world practice say, the brand extension has a lot of good features (Kao Corporation Home Page 2010).

Kao Corporation positions itself as an ecologically conscious company. For sure certain risks exist with production extension, for example negative impact to the brand. It happens because they are not so distinctive as they shall be and there are not products which are good enough. Kao Corporation globalizes using traditional and non-traditional methods such as the Internet marketing and international expansion. One of the best ways for Kao Corporation brand to become stronger is to narrow it focus, to sell cheaper and to dominate in certain category, i.e. be the first brand in a new category. The crucial step to success is its authenticity. Thus, in order to compete with local companies Kao Corporation has to be the leading one in certain segment, so it has try to create a category in which a brand will be a leader. This category can be aging products and lifting products (Kao Corporation Home Page 2010); Kotler and Armstrong. 2008).

The growth strategies involve product development and market development. The virtual and national expansion of Kao Corporation is happening at an ever growing pace. Most of its virtual and online stores have shifted from multi domestic marketing to international marketing. For Kao Corporation, the appearance of virtual market has been enthused by the speedy enlargement and mixing of countries; the configuration of local trading blocs; the formation of market economies; and advances in production and communications technologies. Kao Corporation plans to expend using strategic alliances and mergers with local organizations. For Kao Corporation, marketing in developing countries represents great opportunities to expend its international activities and enter the new market. The advantage of product differentiation will allow Kao Corporation to create a strong international brand image. Brand loyalty will also be important factor in increasing the costs for customers of switching the products of new competitors. Using an international mar­ket development strategy, Kao Corporation will capture a larger share of a market for current products through market saturation and market pene­tration.