Toward more rigorous country brand assessments: the modified country brand strength index

Abstract

PurposeThis study focuses on country branding indices. The main purpose of this study is to build an objective country brand strength index using secondary data. The new index, the Modified Country Brand Strength Index (MCBSI), builds on Fetscherin's (2010) Country Brand Strength Index (CBSI) but uses more rigorous methods and design to create a complementary index to be used together with the survey-based Anholt–GfK Nation Brands Index (NBI). The MCBSI also utilized human development, which is an important dimension of country brands not captured by CBSI.Design/methodology/approachThe MCBSI addresses three significant limitations of the CBSI by using an alternative methodology in constructing the index: specifically, it uses weights for the dimensions, longitudinal data, and relative values by dividing each factor by its cross-country maximum.FindingsOur index ranks 131 countries based on the strength of their country brand. A stronger correlation was found between the MCBSI and NBI than between the CBSI and NBI.Practical implicationsOur contribution has strong implications for both policymakers and academic researchers as it provides a tool for assessing the strength of country brands through accurate but less costly data compared to primary data collected by consultancies for country brand strength indices. The MCBSI informs country brand managers regarding how well their country brand performs across a range of critical dimensions, including export, tourism, foreign direct investments, immigration, government environment and human development.Originality/valueThis study contributes to the emerging academic literature on country brand indices. Currently, there is a lack of objective measurement instruments for assessing country brands. The MCBSI is designed for this purpose to complement the NBI by measuring country brands with objective secondary data. Viewed together, the NBI and our index overcome the obvious shortcomings inherent in each method by providing objective, factual data on country brand equity while providing insight into how people socially construct and evaluate nation brands.

Conceptualizing nation branding: the systematic literature review

“…Thus, the main consequences of nation branding are the following concepts: Social concepts include 18 codes, such as: gaining attention, respect and trust of stakeholders (Browning, 2016; Silvanto and Ryan, 2018; Varga, 2013); strong emotional connection with people (Bigi et al , 2011; Che-Ha et al , 2016); a sense of national pride (Chen, 2012; Dzenovska, 2005; Roozen et al , 2017; Widler, 2007); influencing public opinion (Buhmann and Ingenhoff, 2015; Fan, 2008; Lahrech et al , 2020; Yalkin, 2018); encouraging citizens to feel confident in their homeland (Barr, 2012; Tatevossian, 2008; Varga, 2013); and promoting nation identity (Amujo and Otubanjo, 2012; Clancy, 2011; Dinnie et al , 2010; Montanari et al , 2019; Papadopoulos et al , 2016). Economic and financial concepts, with 16 codes, include, among others: economic growth (Browning, 2016; Che-Ha et al , 2016; Edwards and Ramamurthy, 2016; Hassan and Mahrous, 2019; Pamment, 2018); attracting tourists (Amujo and Otubanjo, 2012; Avraham, 2020; Barr, 2012; Lee and Chun, 2017; Papadopoulos et al , 2016; Rojas-Méndez et al , 2015; Yousaf and Huaibin, 2014); attracting investment (Browning, 2016; Fetscherin, 2010; Kalamova and Konrad, 2010; Lahrech et al , 2020; Montanari et al , 2019; Song and Sung, 2013); attracting business (Frig and Sorsa, 2020; Hakala and Lemmetyinen, 2011; Kam and Tse, 2020; Mariutti and Tench, 2015; Roozen et al , 2017); and internal economic stability (Bigi et al , 2011; Hakala et al , 2013; Rawson, 2007). Business concepts comprise 16 codes, such as positive evaluation of products or services from a particular country (Che-Ha et al , 2016; Ishii and Watanabe, 2015; Loo and Davies, 2006; Yalkin, 2018); assisting large national firms in expanding into international markets (Bigi et al , 2011; Lee, 2011; Montanari et al , 2019); helping market natio...…”

“…Economic and financial concepts, with 16 codes, include, among others: economic growth (Browning, 2016; Che-Ha et al , 2016; Edwards and Ramamurthy, 2016; Hassan and Mahrous, 2019; Pamment, 2018); attracting tourists (Amujo and Otubanjo, 2012; Avraham, 2020; Barr, 2012; Lee and Chun, 2017; Papadopoulos et al , 2016; Rojas-Méndez et al , 2015; Yousaf and Huaibin, 2014); attracting investment (Browning, 2016; Fetscherin, 2010; Kalamova and Konrad, 2010; Lahrech et al , 2020; Montanari et al , 2019; Song and Sung, 2013); attracting business (Frig and Sorsa, 2020; Hakala and Lemmetyinen, 2011; Kam and Tse, 2020; Mariutti and Tench, 2015; Roozen et al , 2017); and internal economic stability (Bigi et al , 2011; Hakala et al , 2013; Rawson, 2007).…”

Open Innovation—An Explorative Study on Value Co-Creation Tools for Nation Branding and Building a Competitive Identity

“…While nation branding started to gain popularity among marketeers, academics, and practitioners in the mid-2000s, a growing number of multidisciplinary researchers from various fields such as marketing, economics, human geography, international communications, international relations, political science, cultural studies, and public diplomacy have raised awareness about the concept in the recent past [5]. The recent interest in nation branding has been linked to various benefits for nations with strong brands, such as the ability to increase a nation's exports [6], attract domestic and foreign direct investments (FDI) [7][8][9][10][11][12][13], boost tourism [14], increase immigration [15], improve a nation's public image domestically and internationally, and strengthen its diplomatic relations and soft power [8,16]. Overall, a strong nation brand plays a significant role in increasing economic growth and various non-financial aspects deemed important in the global competition amongst and hierarchy of nations.…”

The antecedents and consequences of exporting cultural products

“…First, place branding experts maintain that the country image can be actively managed, just like the image of a firm brand. A wellmanaged country or place brand may increase sales of its products and attract tourists and inward investment (Papadopoulos et al, 2018a, b;Lahrech et al, 2020;Lee and Lee, 2021). Several prior studies have pinpointed culture as a factor that could influence the value of a nation or place brand (Anholt, 2003;Steenkamp, 2021;Hao et al, 2021), proposing that cultural products may have spillover effects on other products and brands from that country, thus potentially having positive effects on the whole economy.…”