[EDITORIAL] Low brand image
Some of the country`s top companies have refrained from marketing their goods as Korean made in the global market, and a recent study shows just why. Having a "Made in Korea" label proudly displayed on a product may actually lower the value of the item, according to a report by the Institute for Industrial Policy Studies.
Comparing a product of the same quality and service, if a Korean-made item is priced at $100, the same item bearing a "Made in Germany" label would fetch $155 while those made in the United States and Japan will be priced at $149, according to the survey conducted in 21 major trading countries. A Chinese manufactured item would be priced at $71.
The first-ever formal survey that looked into how consumers around the world viewed Korean products showed that there is a form of "Korea discount" in the market place -- products receive lower value because Korea as a country suffers from a low brand image.
The survey also showed that while Korea was well recognized, Korean-made products enjoyed relatively lower preference among consumers. This could perhaps explain the relatively lower valuation of Korean products.
In selling to the global market, images are as important as the actual quality of products. In fact, in the era of image marketing, a product`s good image translates into higher sales.
An enhanced national image will contribute to an enhanced product image and subsequently higher product valuation. In order to dispel the image of the country as a producer of lower priced goods, both the government and industries must work on improving the image of the country and the image of Korean-made products. A good starting point could be to exploit Korea`s image abroad as a dynamic country and a hi-tech country.
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