The effect of macroeconomic threats on brand value and ranking: Insights from 10 years of fluctuations
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This empirical study analyzes the evolution of international brands over a decade, in a quest to understand which type of macroeconomic event changes overall brand value and performance. The article extends earlier IB literature (Suder et al; Johansson and Dimofte, inter alia), and literature that links brand performance to macroeconomic phenomena, including financial crises, terrorism and warfare; it aims to provide a complementary means for formulating long-term corporate strategy in this field. The largest 100 brands are classified as one particular measure of international corporations’ global reach. Earlier studies employing this methodology found that ranking and value alterations in these brands raised crucial questions for US/non-US brand strategy. Today, more than a decade after 09/11 and in the midst of global financial turmoil, a longitudinal sample allows for extended analyses: these reveal the role of major geopolitical events and present crucial indications of an even greater impact on brands than those of financial crises.
Keywordsinternational brands ranking macroeconomy geopolitics uncertainty crisis
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