Designing a Comprehensive and Heuristic Model for Brand Valuation Based on a Combination of Systematic and Global Standard Tools with All Organizational Stakeholders' Approach (Case Study: The Industrial Development & Renovation Organization of Iran (IDRO

Abstract

Given the growing significance of the brand as one of the examples of intangible assets of the organizations, the study attempted to collect and review a large number of related papers and build a new heuristic model to measure brand value by observing the principles of research based on meta-synthesis method. For this purpose, a large number of studies on brand value measurement were examined by search in Persian and English scientific databases and their most significant points and achievements were extracted. Two main quantitative and qualitative approaches were used to build this method. To build the qualitative section, a questionnaire was developed using the opinions of experts in economics and business and by referring to the existing questionnaires and reviewing the common business management models. Then one of the most widely used financial instruments called Weighted Average Cost of Capital (WACC) was used to build the quantitative section. This financial tool was optimized by 3 parameters of tax, risk and inflation to reach a more accurate output. Then an heuristic valuation method was developed based on a questionnaire with 12 organizational and economic parameters and a financial formula based on optimized WACC. The method built to determine the validity and reliability of the brand of the IDRO of Iran as well as the 40 listed companies operating in different industries was implemented as the case study. Then, the brand value of these companies was calculated using two other brand valuation formulas previously developed. Then, using statistical tests, the outputs obtained were compared with each other. The results indicated that the values obtained from the heuristic formula were more conservative and more accurate.