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European Brand Institute<br />

KR DI Dr. Gerhard Hrebicek<br />

President European Brand Institute<br />

In the center of the European debate about values,<br />

ratings for countries as well as companies and<br />

„BASEL III“ regulations, the question arises how<br />

could the European future look like in terms of values<br />

and ratings, which components are necessary and what<br />

role can brands and other intellectual property (IP) such<br />

as patents, utility models etc. have for the European<br />

development of companies and economies?<br />

„People buy brands not products“ - this sentence is<br />

valid especially in the global communication society.<br />

Our studies show that the average share of brand<br />

value across all industry segments is about 40% of the<br />

enterprise/company value. Additionally, strong brands<br />

grow faster than the average - the so-called „Halo-Effect”<br />

is used much more in North America. In order to stay<br />

competitive, Europe has yet to catch up in this context.<br />

In Europe the number of brands is twice as high as in<br />

North America but value of each weighs only half as<br />

much on average compared to North America.<br />

Branding<br />

for Europe<br />

Europe‘s potential<br />

through strong<br />

brands and<br />

the use<br />

of IP<br />

So where is the European Global brand with a strength<br />

and a value corresponding to the „American apple“ and<br />

how can Europe establish such a global brand?<br />

64<br />

ISSUE 2014

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