Host … So, Carla, just outline the issue for us, if you would.

Carla OK. A recently-published study of consumer attitudes worldwide clearly shows a marked decline in respect for American values globally. This study was carried out by the market research company NOP World. And the implications for the American economy cannot be ignored – this view of America is having a potentially disastrous effect on the image of major US brands such as McDonald’s, Coca-Cola, Nike and Microsoft. Host It’s really that serious?

Carla It could be. NOP World interviewed 30,000 people in markets around the world. According to their findings, there are a number of factors that have all had a profoundly worrying effect on their perception of American culture and, as a consequence, on many of its major brands. Just for the record, these include recent American foreign policy, which many people see as controversial, corporate financial scandals, and a comparatively poor environmental record. There’s a real sense that America has lost its moral authority in recent years.

Host Doug, any thoughts on this?

Doug Well, I just don’t buy this direct link that’s being made. Yes, it may be true that America’s image has suffered, but so have those of many other countries, for all kinds of reasons. I’d like some better evidence, frankly. OK, there may be a downturn in uptake of certain US products – but that could be due to any number of economic factors. It doesn’t have to be because people don’t like America.

Carla Well, there’s evidence that the number of people worldwide who like and use USbranded products has fallen significantly, and at the same time brands perceived to be non-American have remained relatively stable. It’s … it’s not a disaster – yet – but it is clearly a warning sign. And in the long term, if attitudes to America become appreciably more hostile, they are saying, the effect on American business could be irretrievably damaging.

Doug Yes, but, come on …

Carla OK, right, well, wait, let’s look at some figures. Until 2002, NOP found that brands such as McDonald’s and CocaCola were achieving healthy growth, year on year, in terms of their popularity in international markets. But by the middle of the decade the growth in popularity of all major consumer brands – including those from Europe and Asia – had stalled. And recently, this previously positive trend has gone into reverse, with US products the hardest hit. Doug But you just said yourself it’s not only American brands that are taking a hit. Why are you saying that …

Host …OK right, well, let’s try and move this on.

Carla, you said that the NOP study found that this unexpectedly rapid decline in interest in and respect for American products was reflected in consumers’ views of American cultural values. What values are we talking about here?

Carla I’m talking about core values like honesty, freedom of expression and tolerance. Internationalism, if you will. Increasingly, consumers around the world are questioning whether these values still hold true, and whether they want to be associated with them. And this is reflected in the choices they make about the brands they choose to buy. It’s kind of complicated.

Doug I’m not sure it is complicated. We’re at a time of economic and political change, the balance of economic power in the world is shifting. We already know that there are certain countries in the Middle East and Latin America, for example, where consumers with increasing buying power are – and, incidentally, always have been – unlikely to share American cultural values.

Carla But the study also found that people in a number of major European markets felt that their own values were significantly different to American ones. For example, only 65% of British consumers say that they identify with American cultural values. In Italy and France it’s 63%, and in Germany it’s only 55%. This is a downward trend we’re looking at.

Host Well, whether or not this image of America is right, it’s clearly the way we are being perceived. And presumably it will become increasingly difficult to reverse the trend the longer it goes on. So the question is, what if anything are we able to do about it …?