Open AccessThe Impact of Business Innovations on Brand Value
Author(s) -
Katarína Jánošková,
Pavol Kráľ,
Anna Křižanová
Publication year - 2019
Publication title -
mednarodno inovativno poslovanje
Language(s) - English
Resource type - Journals
ISSN - 1855-6175
DOI - 10.32015/jimb/2018-10-2-3
Subject(s) - brand equity , ibm , brand management , marketing , revenue , brand extension , business , brand awareness , value (mathematics) , advertising , mathematics , statistics , finance , materials science , nanotechnology
This article deals with interaction between business innovations and brand value. Innovation and brand equity are two important dimensions that drive businesses today; innovation in particular is a primary determinant of brand equity. Innovations and brand value are two key strategic assets that play important role in company growth and success. The aim of the research is demonstrating a statistically siginificant dependence between the brand value and innovations, which in our research are represented by R&D expenditures. Expenditure on research and development is taken in absolute terms, but also in relative terms as a percentage of revenue. Article contains basic theoretical background of this topic and results of research focused on confirming the dependence between these two parameters. The research is carried out on a sample of fourteen global brands (Google, Apple, Amazon, Microsoft, Samsung, Shell, IBM, Mercedes-Benz, Oracle, Siemens, Honda, Cisco, Intel, Nestlé) with application of mathematical-statistical apparatus. The analysis is carried out by comparison of selected brand values provided by consultative company Brand Finance with innovations represented by R&D expenditure (USD, percentage of sales).