The Role of Branding in International Business Development

Abstract

This thesis explores the significant impact of cultural differences on branding strategies within the context of international business development, focusing on comparisons between Sweden and the United Arab Emirates (UAE). By employing Hofstede’s Cultural Dimensions and Keller’s Concept of Brand Equity, this research thoroughly examines how cultural variances influence the adaptation of branding strategies to meet the expectations and preferences of local markets. Through a mixed-method approach, combining comprehensive literature reviews and in-depth interviews with executives from companies operating in both countries, this study provides a detailed analysis of the interplay between global branding consistency and local adaptation. The findings reveal that effective international branding requires a sophisticated understanding of local cultures and consumer behavior to align marketing strategies accordingly. Companies must navigate complex cultural landscapes to enhance brand equity and consumer engagement. The thesis highlights several challenges faced by brands, including the risk of diluting a global brand identity through excessive localization and the potential for cultural misinterpretations that can lead to brand damage. Recommendations are provided for multinational corporations aiming to expand internationally. These include conducting detailed cultural analyses to inform branding strategies, integrating local cultural elements into global brand narratives without compromising the brand's core identity, and adopting flexible marketing strategies that can respond dynamically to local consumer insights. The study not only contributes to academic discussions on international marketing but also offers practical guidelines for businesses seeking to harness the benefits of culturally informed branding strategies. This systematic analysis highlights that proper coordination between global integration and local adaptation is critical in international branding management; it is aimed at providing practitioners and scholars with a more profound understanding of the operational tactics for international branding strategies.