Cross-Cultural Challenges of Brand Management Development: Recommendations for Fashion MNEs' International Expansion

This research is aimed at studying the influence of cultural factors on brand development in the field of international mass market. The aim of the work is to identify cultural aspects that significantly affect the perception of the brand in different countries and to develop a decision-making model with recommendations for international expansion. To achieve this goal, the scientific literature was analyzed aimed at considering key approaches to brand management strategy, namely standardisation and market orientation. Approaches to the cultural aspect were also studied: Hofstede’s dimensions, Trompenaar dimensions and Hall's contextual approach. The most suitable model for further research was presented by Hofstede, distinguished by the reliability of the data and the number of cultural factors involved in the constructed model. The result of the review of scientific publications is to identify the influence of cultural dimensions on the perception of the brand by consumers, as well as to identify weaknesses in existing publications – the lack of meta-analysis on the influence of factors. The research methodology consists of three parts: data collection, primary analysis of the impact of a cultural cluster as an integral aspect, consideration of the mutual influence of individual cultural factors. Spearman's correlation analysis tools were used for the analysis, since the data were provided in the form of rank values, and regression analysis was also used to identify hidden patterns and relationships between the presented factors. It was determined that three factors have the greatest impact on each of the identified mass market segments: Power distance, Long-term/Short-term orientation and the level of Indulgence. The perception of fashion, clothing sizes, following trends and the price-quality ratio varies depending on the cultural characteristics of the selected market. Additionally, an analysis of direct competitors was conducted, aimed at identifying the necessary competencies for successful international development. Based on the data obtained after the analysis, a decision tree was built. The last chapter combines recommendations for mass-market international companies, providing eight strategies for the brand. The tips were divided into two main areas: working with people inside the company (employees), working with people outside the company (consumers). The development of an employer's brand includes motivation, the type of organizational structure and communication with employees. The company's brand development for consumers consists of recommendations on the marketing mix: price, promotion, location and product. These recommendations are applicable to international companies that operate in several cultural clusters and provide a mass market segment. Keywords: brand management, Hofstede’s dimensions, cultural factors, mass-market