From Trademark to Brand: Branding as a Source of Sustainable Competitive Advantage for Firms

Abstract

In the contemporary environment of global competition, the transition from trademark to brand represents a fundamental shift in the logic of value creation and market positioning. While trademarks primarily perform legal and identificatory functions, brands operate as complex strategic assets capable of generating sustainable competitive advantage. The objective of this study is to conceptualize branding as a systematic managerial process through which firms transform registered trademarks into value – creating brands that influence consumer perceptions, foster trust, and support long-term differentiation. Methodologically, the research applies a qualitative synthesis of classical and contemporary branding theories, complemented by the analysis of empirical observations and evolving branding practices in regional and global markets. The findings demonstrate that sustainable brand advantage emerges from the integration of strategic marketing planning, consistent brand identity management, stakeholder engagement, and the deliberate accumulation of brand equity. The study confirms that branding extends beyond communication activities and functions as a core component of corporate strategy that enhances adaptability, innovation capacity, and relational capital with stakeholders. Consequently, the article substantiates the scientific proposition that firms capable of effectively converting trademarks into strategically managed brands achieve more stable market positions and superior value realization. The paper contributes to marketing science by clarifying the mechanisms underlying trademark-to-brand transformation and by outlining practical implications for organizations seeking to develop resilient brand architectures in increasingly dynamic competitive environments. UDC: [339.138:659.126]:339.137.2; JEL: M31, L21, L25