THE ESSENCE OF GLOBAL BRANDING AND ITS IMPORTANCE FOR COMPANY COMPETITIVENESS
Authors:   Sumy State Pedagogical University named after A. S. Makarenko, Samoday Valentyna , Mashyna Yuliia ,   Kyiv National Economic University named after Vadym Hetman, Rudenko Natalia ,   Taras Shevchenko National University of Kyiv
Published: March 2022

The issue of global branding is an important area of economic policy of developed countries. The brand is a symbol of stability of quality, properties and characteristics of product. The brand provides the consumer the unique properties of this product and significant advantages over its counterparts. During the process of brand formation, a unique concept is defined, which includes a set of actions that can direct it to the formation of a real advantage over competitors and which retains its properties over a long period of time. Before justifying the need for branding, it is important to explain the importance of effectiveness in this context. Efficiency is an indicator of such work, the results of which are the highest, while the costs of this activity are minimal. Quality branding creates a positive image of the company in the market, makes it more recognizable among consumers and at the same time reduces the level of financial costs of the enterprise. The ability to reduce financial costs is very important, because often the company needs money to respond to various changes in the external environment, both in terms of crisis and changes in the competitive environment. To confirm the importance of effective branding, it is worth giving examples of companies that have achieved their success primarily due to a strong brand. The annual analytical report on the 100 most expensive brands in the world of the consulting agency Interbrand “Best Global Brands 2020” was taken into consideration. The Interbrand brand valuation methodology includes three components: analysis of the company’s financial indicators; - the role that the brand plays in purchasing decisions; market capitalization and brand competitiveness. In addition, brand owners must meet a number of other conditions to do business on at least three continents, receive at least a third of revenue outside the country of registration of the brand, and have open financial statements (i.e., be a public company). One of the most important issues facing a company seeking to have a strong competitive position in the market is the transformation of a registered trademark into a brand. Modern scientists emphasize that the lifespan of a brand exceeds even the lifetime of the company that provides the service or produces a particular product. The article substantiates that one of the ways to increase competitiveness is to develop and promote a “strong” brand, the implementation of which requires the formation of strong values, gaining consumer confidence and creating conditions for individuality and brand identification. It is analyzed that the introduction of digital marketing is the most effective way to form brand awareness and it is investigated that the use of innovative marketing technologies optimizes the creation and promotion of brands. Against this backdrop this paper examines the concept of “brand” is defined by the most influential organizations in marketing activities and leading economists and scientists. The role of brands for consumers and producers is studied. The five main tasks of branding by Philip Kotler are described. The experience of the top 5 international companies with the most expensive brands is analyzed.