Branding as a dynamic capability

Abstract

A new theoretical framework is developed to scrutinize the strategic advantage for branding. The theoretical framework applies both at the firm level, for the marketing of individual brands and corporate brands, and also to branding where a marketing agent plays a facilitating role within a community or industry. The framework presents branding as a dynamic capability held by a marketing agent within a market network. Two interrelated processes are involved: (i) managing brand identity and (ii) facilitating integration with the social processes that co-create brand meanings for buyers, sellers, and other actors. The social complexity of this dynamic capability makes the brand difficult to imitate and so provides a strong strategic advantage for the marketing organization. An agenda for future research is developed and the article concludes with theoretical and managerial implications.

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