Measuring the worth of something as intangible as a country’s image is a tough, if not an elusive, task. But Brand Finance, a company that specializes in putting value to corporate brands, attempted to do just that by evaluating the countries on three key metrics—goods and services, investment, and society.
A strong sovereign brand matters because it bolsters a country’s soft power and influence in the international community. It is also a big boon to the economy.
“In a global marketplace, it is one of the most important assets of any state, encouraging inward investment, adding value to exports, and attracting tourists and skilled migrants,” said David Haigh, chief executive of Brand Finance, in the National Brands report released earlier this month.
The most valuable sovereign brand in the world is the U.S., thanks to the country’s free-market policies which have continued to support its economic expansion.
“As Donald Trump approaches the start of his third year at the White House, in the longer run, negative perceptions of his personal brand have turned out to have little impact on the nation brand as a whole,” said Haigh.
Brand Finance
China’s brand is the second most valuable in the world and despite concerns about the country’s protracted trade war with the U.S., its effort to engage more actively with the global community has paid off.
“The improvement comes as China steps up its role on the global stage, championing free trade and leading the efforts to combat climate change at a time when the USA is turning towards protectionism and prioritizing own interests over a collaborative energy policy,” Haigh said.
Germany came in at third, making it the most valuable sovereign brand in Europe and helping the country to widen its lead over the fourth brand—U.K. Under the leadership of Chancellor Angela Merkel, the country’s image was burnished by its growing influence in the global economy and politics.
Although the U.K.’s decision to leave the European Union could undermine its standing going forward, a healthy economy and a positive outlook has boosted its image, displacing Japan as the fourth most valuable brand in the world.
Japan dropped to fifth place, followed by France at sixth and Canada at seventh. And for all its economic troubles, Italy still was the eighth most valuable brand while India was ninth and Korea came in at tenth.
Other countries of note that did not make the top 10 list were Spain at 12th, Mexico at 14th, Brazil at 17th and Russia at 18th.
The full report and a more comprehensive list is available at Brand Finance’s website.
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