Most of the consumer behavior models that are used in Asian boardrooms today were developed in a handful of Western countries. Marketers still do not know very well how marketing techniques and theories can be applied to non-Western contexts.

Many models that are used by companies today are based on the assumption that, as the anthropologist Clifford Geertz puts it, the person is "a bounded, unique, more or less integrated, motivational and cognitive universe."

Most marketing and management theories rely on what we can call a Western perspective of the individual as an independent, autonomous identity, free to make decisions based on purely personal desires and affiliations, living life in accordance with Maslow's hierarchy: food, shelter and clothing are the most basic needs, after which might come high cuisine, decoration and fashion. Mankind universally, it would seem, operates as rationally.

Marketing textbooks still use this model to show how consumers move from the satisfaction of basic needs to higher-order goals such as self-actualization. This model, however, fails to consider cultural differences. In some third world countries, people may deprive themselves of food to buy a refrigerator to enhance their social class.

Clearly the hierarchy of priorities is quite different in an Asian context, where interpersonal relationships and social interactions are more valued, on average, than self-actualization needs. The Western's need for self-actualization, in the Asian context is replaced by social needs of status, admiration and affiliation. Autonomy and independence are not as important or at least do not have the same connotations as in the West.

The importance of in-groups in Asian cultures
Asian cultures have a very different conception of individuality, placing more emphasis on the way individuals are connected to the people around them: attending to others, fitting in and living in harmony. While in the West, individuals generally define themselves through certain individual talents, abilities and personality traits, many non-Western cultures do not value a strict separation of the self from the family unit and the community, what psychologists call in-group.

In many Asian cultures, people believe in the fundamental connectedness or interdependence of individuals within the same in-group. The importance of the in-group does not mean total social conformity though. L'Oreal's large sales of hair dyes in Japan testify to the importance of being different.

The importance of luxury brands in Asia shows consumers trying to differentiate themselves from other members of society through iconic brands such as Chanel, Louis Vuitton or Gucci. A large portion of the French luxury giant LVMH's turnover comes from Asia.

The differences between Western and Asian cultures are not black and white though. It would be too simplistic to label all Asian cultures collectivist and Western cultures to be all individualist. Within Asia, there are vast differences in the way the interdependent self is expressed. There is a tendency across the region to engage in socially engaging behavior but the form of this behavior varies greatly.

For example, the Japanese view of the self is evident in everyday episodes where Japanese emphasize the notion of "losing face", acting on the basis of these others' expectations and needs, blurring the distinction between self and others.

In contrast Indians' in-group is limited to their family and their ethnic community. With 18 official languages, drastic regional differences, religious feuds and extreme social class disparities, the ability for Indians to empathize with others becomes limited at best. Instead, in India the interdependent self means enduring loyalty and sense of belonging to a community defined by caste, language, geographic origin and social class. What constitutes the Indian in-group is very different from the Japanese or Chinese in-group.

Overall, though, it is important for marketers to realize the importance of the in-group for consumers who will seek advice, think of products and evaluate products within an in-group.

Societies in Asia are moving fast and the dimensions described above are not set in stone. Asian countries are increasingly connected to other countries within and beyond Asia. These connections only enhance and increase the rapidity of the Asian evolution. What remains though, are these connections between these different countries. Contrary to popular thinking, the biggest Asian companies do most of their business in Asia. To become astute marketers and understand Asian consumers, the corporate management of companies will first have to look within Asia.

Companies striving to build successful brands in Asia should understand this unique mosaic of cultures that Asia is. The region represents a blend of modernity and traditionalism. This indeed is a doubled edged sword for companies seeking to develop brands in Asia.

On the one hand, this presents a hug set of opportunities with diverse customer segments, latent rural demand, and an immense potential to weave exciting new stories. But on the other, it also compels companies to find a fine balance between varied scapes and flows to become local and regional at the same time.

Fine-tuning products and services to satisfy local tastes and preferences while also appealing to a pan Asian identity by leveraging the common underlying cultural underpinnings will be one of the possible ways ahead for companies in Asia.

Brands are built on the value proposition platform. The basic logic has been that in the ever competitive market place characterized by decreasing information asymmetry between customers and companies, increasing customer power allowed by the Internet, flattening of boundaries between economies, fragmented media and communication overload, branding is an effective strategy for companies to cut through the clutter, engage the customer and build both customer loyalty and the bottom line.

What do tough economic conditions do to branding? By focusing on superior quality and creating engaging customer experiences, brands have been commanding huge price premiums over similar private label products. The argument has been that customers buy not just for utilitarian consumption but also for the brands' symbolic value.

But tough economic conditions turn such equations upside down. Customers who were buying high end brands to symbolize prestige are finding that they can no longer afford such indulges. They start pruning their purchases of such symbolic products. Especially given the proliferation of store brands in literally every product category, which not only boast of comparable quality but also low prices, customers start reevaluating their buying behaviors.

They downgrade to the basic minimum which is offered by these private labels. As such, customers tend to migrate from purchasing brands to purchasing private labels. Even though much has been written about the captivating power of brands and how they can ward off competition from private labels, situations of economic downturn challenges such arguments.

The most common strategic mistake that most companies make is to try to retain their customers by competing with the private labels by slashing prices. Such a decision can prove very detrimental to the long term equity of the brand.

Engage the customer: Economic downturns can offer excellent opportunities for brands to engage customers in innovative ways. As customers are cutting down on consumption, brands can initiate measures that take customers mind off the difficulties of consumption and focuses on the worthy features of the brand. Such situations can prove to good times to initiate procedures to co-create value with customers.

A slightly related example is that Singapore Airlines' strategy during the deadly SARS that hit South East Asia. When customers were very scared of flying and airlines were flying their flight nearly empty, Singapore Airlines (SIA) started offering very innovative vacation packages. Such innovative options used to engage the customers helped SIA to minimize its losses. But more importantly, such measures ensured that SIA was successful in protecting its brand image and brand equity.

Create excitement in customer experiences: Brands should use all of their strategic arsenal to create exciting interactions with the customers. Such initiatives can range from special deals to surprise the customers, product bundling to enhance value, promotions with creative alliances (such as with celebrities, traveling etc) to rewarding customers for their loyalty through special gifts, brand credit and so on.

Such initiatives not only take the focus off of price but also reiterate the brands' commitment to engage and value customer patronage. Such initiatives also allow companies to experiment with new steps. For example, recently Starbucks advertised that customers who volunteered for local community work for two hours would receive a free coffee. What is interesting about this initiative is that this was not a corporate level initiative but rather a local initiative that a couple of stores in one city undertook. Such initiatives not only enhance the brand image in the eyes of the customers, but also create additional reasons for the customers to continue to patronize the brand.

Offer customers viable options: Market conditions during such economic turmoil also offers brands opportunities to test waters with some new offerings, which can be different product variants, new products, new service offers through brand alliances and so on. Brand can experiment using a distribution channel such as Wal-Mart for example, to reach broader customer segments.

Such new options serve two purposes. First, they allow the brand to carry out pilot studies of such new offerings in the market, gather customer reaction and test its own competence in the new situations. Second, and more importantly, such initiatives sends a very strong signal to customers that the brand cares about the dire economic conditions and that the brand is trying to reach out to the customers by creating new options for them. Creation of such goodwill will not only help earn customer loyalty in the present time but also will help companies to cement such relationships when the economy bounces back and customers start evaluating their options.

Conclusion
Branding is not viable only in thriving economic conditions but is also a very viable strategy during economic downturns. All those who have announced the demise of branding because of the global economic meltdown may after all be surprised by the staying power of global brands. By building on the platform of superior value propositions, enriching interactions and enjoyable experiences, brands have established a very strong relationship with customers.