Interactive Network Branding: demonstrating the importance of firm representatives for small and medium-sized enterprises in emerging markets

Abstract

Purpose The purpose of this paper is to explore Interactive Network Branding (INB) in an emerging market (EM) context while focusing on the importance of firm representatives for small- and medium-sized enterprises (SMEs). The INB corresponds to the process of interpersonal interaction which results in corporate identity and reputation creation that SMEs ultimately use to influence their network positions. Design/methodology/approach This single case study presents four Croatian SMEs embedded in a business network. A research model of INB serves as an analytical tool for analyzing the phenomenon in its context. The key unit of analysis is an SME represented by its manager(s). Findings Contrary to large multinational firms that have financial capabilities for branding departments and recruitment of brand managers, SMEs in EMs tend to focus more on creating long-term relationships with their fundamental business partners. Through INB and interactions between firm representatives, corporate branding becomes an inherent part of networking. Thus, the study acknowledges the importance of INB, being implemented through firm representatives, as it plays a crucial role in the survival and success of SMEs in the EM context. Research limitations/implications Based on the chosen research approach and the focus on the Croatian EM, the findings might lack generalizability. Hence, further research is necessary to examine the applicability of INB in different empirical contexts. Practical implications This paper provides implications for practitioners coping with networking and branding processes of SMEs that are operating in fast-changing EMs. Originality/value This study provides a deeper understanding of INB while focusing on the importance of firm representatives and their interactions that have an influence on the networking and branding processes of all the parties involved.

Early stage network engagement strategies in the network capability development of new ventures

“…Our findings suggest that co-branding and co-promoting activities were used as an engagement strategy in network capability development. This finding links to the concept of Interactive Network Branding (INB) where identity and reputation comprise the main elements of every corporate brand (Koporcic, 2020). Our findings resonate with this literature that suggests that brand identity stems from the founders and reflects their personal values, experiences and perspectives (Koporcic and Halinen, 2018), that is, the love of craft beer, the craft beer process and ethos.…”

“…Identifying the five early stage network engagement strategies can mitigate the challenge for the new venture in moving from the initial social network to collaborating within existing business networks (Håkansson and Waluszewski, 2002) to gain access to resources, technology and customers (La Rocca et al, 2013Rocca et al, , 2019. It may also facilitate interactive brand co-creation providing the new venture with uniqueness, credibility and enhanced customer confidence in addition to strengthening business relationships through sacrificing short-term profit for more longer-term mutual benefit (Koporcic, 2020). Developing a network capability is a time-consuming and learning process that requires a level of commitment from the new venture (McGrath et al, 2018) in addition to a willingness to operate in an interdependent manner with other actors.…”

IMP: it’s time to get emotional! Understanding the role of negative emotions in dynamic decision-making processes

“…Besides, when researchers collect data on strategizing, they interview the management of the firm, i.e., individuals (Clark, 2004). These individuals are representing their firms and making decisions on their behalf (Koporcic, 2020;Koporcic & Halinen, 2018) while being in the center of actual strategizing processes (Baraldi et al, 2007). Thus, as Johnson et al (2003, p. 14) state: "It is time to shift the strategy research agenda towards the micro; to start not from organizations as wholescorporations, business units and so onbut from the activities of individuals, groups and networks of people upon which key processes and practices depend.…”

“…individuals (Clark, 2004). These individuals are representing their firms and making decisions on their behalf (Koporcic, 2020;Koporcic and Halinen, 2018) while being in the center of actual strategizing processes (Baraldi et al, 2007). Thus, as Johnson et al (2003, p. 14) state:…”

“…At the same time, researchers should not ignore the fact that individuals are making decisions on behalf of their companies (Koporcic andTörnroos, 2019a, 2019b), which are not isolated from other companies in a business network (Håkansson and Ford, 2002). This brings additional social responsibility and individual welfare agenda to an individual who is making a decision, thus bringing a more socially relevant agenda to the IMP tradition.…”