Commentary - Journal of Finance and Marketing (2025) Volume 9, Issue 2
Marketing Strategies and Firm Value: Evidence from Emerging Markets
Wone Lee*Department of Plant Sciences, University of Cambridge, UK.
- *Corresponding Author:
- Wone Lee
Department of Plant Sciences
University of Cambridge, UK.
E-mail: Leee@emory.edu
Received: 04-Apr-2025, Manuscript No. AAJFM-25-164715; Editor assigned: 06-Apr-2025, PreQC No. AAJFM-25-164715(PQ); Reviewed: 19-Apr-2025, QC No AAJFM-25-164715; Revised: 23-Apr-2025, Manuscript No. AAJFM-25-164715(R); Published: 30-Apr-2025, DOI:10.35841/AAJFM-9.2.288
Citation: Lee W. Marketing strategies and firm value: Evidence from emerging markets. J Fin Mark. 2025;9(2):288
Introduction
In emerging markets, the dynamic interplay between marketing strategies and firm value is gaining increasing attention as businesses navigate rapid economic growth, shifting consumer preferences, and intensifying competition. Unlike in developed economies, firms in emerging markets often operate under conditions of institutional uncertainty, limited infrastructure, and evolving regulatory environments. In such contexts, marketing strategies can serve as powerful levers for building brand equity, differentiating products, and ultimately enhancing firm value [1, 2].
Effective marketing strategies in emerging markets go beyond traditional advertising; they encompass market segmentation, positioning, pricing, distribution, and digital engagement tailored to local consumer behavior. Companies that invest in understanding regional preferences and socio-economic trends are better able to design marketing campaigns that resonate with target audiences. For example, culturally adaptive messaging and localized branding can foster trust and loyalty, which in turn contribute to increased customer retention and revenue growth [3, 4].
One of the key findings from empirical studies in emerging markets is that brand equity has a significant impact on firm valuation. Strong marketing capabilities help firms develop recognizable brands, which serve as intangible assets that enhance market reputation and pricing power. This is particularly valuable in markets where financial transparency may be limited and consumer trust in corporate entities is still developing. A trusted brand can reduce perceived risk for customers and investors alike, positively influencing stock prices and market capitalization [5].
Digital marketing has emerged as a particularly impactful tool in enhancing firm value in these regions. With the rapid adoption of smartphones and internet access, firms can engage directly with consumers through social media platforms, mobile apps, and e-commerce channels. Digital campaigns not only lower marketing costs but also allow for real-time feedback, data collection, and personalized promotions. Companies that effectively leverage digital strategies often see improved customer engagement metrics, which correlate strongly with sales performance and investor confidence [6, 7].
Moreover, marketing strategies that emphasize corporate social responsibility (CSR) and sustainability are increasingly influencing firm value in emerging markets. Consumers are becoming more socially aware, and firms that align their branding with ethical practices are more likely to attract and retain customers. This alignment can enhance brand perception, mitigate reputational risks, and lead to greater valuation in the long term [8].
However, the effectiveness of marketing strategies in enhancing firm value can vary based on firm size, industry, and market maturity. For instance, small and medium enterprises (SMEs) may face budget constraints and lack the resources to execute large-scale campaigns. Yet, these firms can still achieve value growth through grassroots marketing, community engagement, and word-of-mouth strategies. In contrast, large corporations might focus on integrated marketing communications and strategic partnerships to reinforce their market leadership and investor appeal [9].
Financial performance acts as a crucial mediator between marketing initiatives and firm value. Marketing strategies that drive customer acquisition, retention, and upselling naturally lead to revenue expansion and margin improvement. Over time, consistent financial gains attributable to effective marketing contribute to enhanced firm valuation, as reflected in key metrics such as return on assets (ROA), earnings per share (EPS), and market-to-book ratios [10].
Conclusion
In conclusion, evidence from emerging markets highlights that marketing strategies play a vital role in shaping firm value. Through brand building, digital engagement, cultural relevance, and ethical positioning, firms can create sustainable competitive advantages that translate into financial gains and investor trust. As these markets continue to evolve, firms that prioritize strategic marketing and adapt to local conditions will be better positioned to drive growth and maximize value in the eyes of both consumers and shareholders.
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