Brand Expansion of Swedish SMEs : A study on how Swedish SMEs exercise branding to expand in the European market

Abstract: Introduction  Globalization has opened up for opportunities, as well as challenges, for small- and medium-sized enterprises (SMEs) to distinguish themselves in a competitive environment. A branding strategy that aims to develop a strong reputation and recognition can be an attempt for Swedish SMEs to create awareness and differentiate themselves in the European market. This thesis is composed of three major bricks; branding, and how the firms exercise it; SMEs resource constraints, in terms of employees and financial assets; and internationalization. All these combined become special challenges for SMEs. Purpose The purpose of this thesis is to examine how Swedish SMEs exercise branding internationally in order to develop a strategic model of how they can continue their brand expansion in the European market. Method In order to fulfill the purpose of the study, a qualitative study based on four Swedish SMEs were included in the sample. Through semi-structured interviews (six face-to-face and one telephone interview). The respondents were the owners, external CEOs, product or marketing managers of the SMEs. The collected data was categorized and each SME was analyzed in order to finally construct a model. Conclusion  The findings in this thesis show that all the investigated SMEs, to different extents, use branding strategies in order to succeed in the international market. Generally the findings conformed to a certain degree to previous findings concerning branding. Further, the importance of international fairs and networking while developing the brands outside the Swedish market was found. The authors came forward with the SME European Brand Expansion-model, which is strongly influenced by the empirical findings in this thesis.