Branding efforts and SME performance – an empirical investigation of variations across firm sizes and business sectors

Abstract

Purpose

This paper aims to draw on the organizational ecology theory to examine variations in branding efforts and performance of small and medium-sized enterprises (SMEs) across enterprises sizes and business operating sectors.

Design/methodology/approach

A four-stage analysis involving principal component analysis, Pearson correlation, ANOVA and logistic regressions was used on a sample of 430 SMEs within an emerging market.

Findings

Principal component analysis identified four brand marketing efforts relevant to the SMEs. These efforts were used in fluctuating extents among small-sized versus medium-sized enterprises, as well as manufacturing versus services SMEs. Additionally, proportionate levels of performance corollaries were found to be accruable across the enterprise sizes and operating sectors.

Originality/value

The paper first identifies four brand-building efforts germane to SMEs within an emerging market and examines their precise contributions to firm performance within enterprise sizes and business operating sectors. It further reinforces the relevance of brand marketing programs to the growth of SMEs by establishing the likelihood and extent to which brand-building efforts impact on SME performance across enterprise sizes, as well as operating sectors. The study also presents issues of potential research and managerial interest from an emerging market, offering insightful implications to researchers and SME managers.

Citation

Odoom, R., Mensah, P. and Asamoah, G. (2017), "Branding efforts and SME performance – an empirical investigation of variations across firm sizes and business sectors", Journal of Research in Marketing and Entrepreneurship, Vol. 19 No. 1, pp. 59-76. https://doi.org/10.1108/JRME-06-2016-0017