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Logic and management of brand companies


Tomorrow’s markets will be more brand oriented than ever – whether in retail, industrial and consumer goods, services or the non-profit market.

An examination of successful brands in various sectors shows that corporate success is the result of outstanding performance. Brands are not an end in themselves; they are a tool that enables companies to succeed in the face of fierce competition. Well managed brands are profitable income generation systems that guarantee the stability of financial returns. Recent studies conducted by Price Waterhouse Coopers show that the brand is a significant factor in determining the value of a company. In the field of consumer goods, the brand accounts for over 60% of corporate value. In 1978 the ratio of book value to goodwill was put at 95:5. Today, book value accounts for only 28% of corporate value compared with 72% for goodwill.

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Institute of Brand Logic