The European Merger

Santiago Iñiguez, dean of the Instituto de Empresa and blogger over at BizDeansTalk raises an interesting point this week about the potential marketing strategy for business schools in Europe as they face the challenge of competing against aggresive competition from American and Australian institutions:

In order to enhance the visibility of European higher education and to attract more foreign students there may be two alternative strategies. The first one is investing in the promotion of the generic brand, i.e. “Europe”. The second one is to promote the best brands in European education, i.e. those universities or business schools with worldwide recognition, in order to position European education with premium brands and high quality and hence support the generic brand. The latest Financial Times MBA Ranking, listing the leading b-schools in Europe, has done more for European management education than many other marketing campaigns promoting European management. Given the fragmentation of European higher education I would recommend the second strategy to EU marketing officers.

The situation described above is one that many institutions in Europe face, from tourism to real estate to financial services, and is inherent in the problem of combining the many disparate micro-climates  which constitute the continent's one brand: "Europe". Indeed, the current situation is not unlike that of a post-merger scenario, where many different dominant brands, all posessing their own unique cultures and alliances and loyalties, scramble to promote themselves and their superior benefits over one another's at the expense of the organisation as a whole.

Professor Iñiguez is right, of course: it makes more sense to pick six or seven of the largest, most prestigious business schools in Europe and actively promote them as Europe's point of call for business education, making the assumption that the other institutions will benefit from the increase in applicants to the region, but in order for that to happen, it requires that those institutions which do not make the list don't try and 'undercut' the system and aggresively promote themselves around the status quo. For the first scenario, that of "investing in the promotion of (the) generic brand ... Europe" is the only viable option which European legislators have found available today by default of lack of cooperation between countries and institutions within the  EU: most European business schools, for example,  have an open statement of intent to become "Europe's largest/biggest/most powerful b-school".

Such aggresive self-promotion on the part of the individual brands leaves potential customers confused as to what actually is "the best", and instead the brightest candidates (in many cases even those whose initial preference was to live and study on the European continent), in the case of business schools, end up going to Harvard or Stamford: at least there they are assured of quality. What Professor Iñiguez proposes - that Europe concentrate its marketing of business schools to focus around a favoured few - requires those that are less than brilliant right now to take a back seat and cooperate. This is much easier said than done in a climate where ultimately, you are talking about sixteen countries which don't even share the same common language.

The answer, I suspect, lies where many Europeans are now scared to tread; in the re-formation of empirical elitist governing bodies such as the Ivy League institution in the United States. The concept is painfully familiar in European history but contrary to the mission of left-wing Brussels politicos , for more than anything else Brussels is bent on equality. Equality, however, comes at an ironic price, as most Europeans have found in demise of the quality of everything from the food they now purchase in supermarkets (tailored to specific sizes and colours at the expense of taste) to living standards (real estate has appreciated phenomenally in most major European cities and towns with the introduction of a single currency forcing many once comfortable Europeans to adopt a culturally deplete suburban lifestyle where one was previously not required). 

If EU legislators, participant institutions and organisations are to make the most of the single brand, there's going to have to be more give-and-take from those that are not really where they claim to be right now, and that means, in come cases, putting political ideals and personal aspirations on hold for while.