Brands as Leading Indicators of Performance
Brands as Leading Indicators of Performance

Summary/Abstract: In our paper we are exploring the relationships between decisions related to branding, brand image and corporate strategy and corporate performance. Our analysis is based on a database of 572 enterprises from Hungary employing 20 people or more. We analyzed the differences in strategy and performance which could be attributed to brand development spending. Our results show that the differences are in the favor of those firms that set out to build strong brands on their market. Those who obtained market leader positions also are tending to spend more on brand building. We also segmented the firms based on their performances and realized a brand score for every firm based on four brand variable (variables related to brand related spending and brand image). Our major proposition is that brand related measures can be leading indicators of performance

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