Companies’ competitiveness in the context of food embargo: Brand orientation of Russian food producers

Abstract

In this paper, based on an empirical study of 198 Russian companies-food producers, an attempt is made to identify the features of brand orientation realization in the context of the food embargo. The data was collected using a questionnaire based on a brand orientation scale, developed under the circumstances of the Russian market features. The data collected are analyzed using hierarchical and non-hierarchical cluster analysis. As a result of the cluster analysis, a typology of Russian companies-food producers is formed, four clusters are identified, differing in the level of brand orientation and the specifics of brand management activities: 1. high brand orientation, 2. medium brand orientation focused on communication, 3. low brand orientation focused on research, 4. no brand orientation. Each cluster is described by eight parameters that reflect the characteristics of brand management: the focus of the company's brand management activities, brand identity, employees, positioning, brand values, communications, visual identification, and performance evaluation. For each cluster, the features and limitations are identified, which determines the behavior of the companies in the Russian market. The article also defines the marketing features of the Russian food market caused by the introduction of the food embargo, reveals a change in the structure of foreign food suppliers to Russia, as well as a change in the level of competition among companies operating in the Russian market. In addition, the results of the cluster analysis were compared with the data of the TGI Marketing Index, which revealed the correlation between the indicators of brand effectiveness and the level of brand orientation implementation.

Keywords:

brand orientation, Russian food embargo, companies-food producers, cluster analysis