Abstract The development and role of brand identity in new B2B ventures is not well explored despite the challenge for such organisations in establishing reputational legitimacy. Previous research defines corporate brand identity as stable and endogenous to the organisation based either on the reputational capital of the organisation or the founder. We challenge this view in this paper from a conceptual and empirical perspective. Combining narrative theory and performativity theory this article suggests brand identity develops as a narrative performance. The study employs a narrative case analysis of interviews and archival data generated during a three-year period to examine the development of corporate brand over time. This study shows that the development of corporate brand identity and the context of the development of new B2B venture are closely intertwined processes and provides a framework for understanding the phenomenon. Brand identity is not a stable core emanating from inside the company but develops over time through a reciprocal sensemaking and dynamic interactions between company and the key external stakeholders in its context. We conclude that brand identity is built not only upon the reputational capital of past behaviours but of the brand itself as it explores and interacts within its brand eco-system.
1. Introduction
The development and role of brand identity in new venture start-ups is not well explored. This is despite extensive knowledge of the challenges for new venture start-ups in engendering trust (Ali & Birley, 1998), reputational capital (Petkova, Rindova, & Gupta, 2008) and building networks (Shane & Cable, 2002) for companies that do not have a performance track record. For a new venture the acquisition of legitimacy: reputation legitimacy (Abimbola & Kocak, 2007; Deephouse & Suchman, 2008) and network legitimacy (Low & Johnston, 2008), is key to acquiring financial backing (Shane & Cable, 2002), network acceptance and enabling access to essential resources (Zimmerman & Zeitz, 2002). In this article, we focus on the brand identity as form of reputational legitimacy, built not only upon the reputational capital of past behaviours of the founder but of the brand itself as it explores and interacts within its brand eco-system (Gyrd-Jones & Kornum, 2013).
7. Limitations and future research
As with all research the findings of this study are subject to some limitations. Process research always contends with a trade-off between accuracy and generalizability (Pentland, 1999). Owing to its multidimensional nature, the phenomenon of corporate brand identity development, as with most real processes, is virtually impossible to capture absolutely (ibid., p. 720). However, the purpose of this study is to understand how and why corporate brand identity develops in the context of new B2B venture development rather than to provide a universal explanation of the phenomenon. Applying this research approach to studies across a number of firms would further our understanding of the dynamic nature of the brand identity development process.
