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Country Brand Index 2012-13
 

Country Brand Index 2012-13

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Welcome to the eighth edition of FutureBrand’s ...

Welcome to the eighth edition of FutureBrand’s
Country Brand Index.

The Country Brand Index, or CBI, is a preeminent global
study of country brands. We annually measure and rank
global perceptions around the world’s nations—from
their cultures, to their industries, to their economic
vitality and public policy initiatives. The resulting index
is a mix of trend reportage, expert findings, data-rich
analysis and future-positive prediction.

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Country Brand Index 2012-13 Country Brand Index 2012-13 Presentation Transcript

  • Country Brand Index2012-13Country Brand Rankings Themes of 2012-13: Tomorrow’s Leading Leaders at a Glance Country Brands: The Future 154 8 40The Region Report The Dimensions of Future Forward a Country Brand60 69 93
  • I N T RO D U C T I O NWelcome to the eighthedition of FutureBrand’sCountry Brand Index.The Country Brand Index, or CBI, is a preeminent globalstudy of country brands. We annually measure and rankglobal perceptions around the world’s nations—fromtheir cultures, to their industries, to their economicvitality and public policy initiatives. The resulting indexis a mix of trend reportage, expert findings, data-richanalysis and future-positive prediction.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 2
  • I N T RO D U C T I O NCountry Brands Createthe FutureAt FutureBrand, we believe that the future is informed by how familiar we are with countries But there’s another aspect to our study that goescreated one decision at a time. Our decisions and whether we have visited them or not. beyond what people think today. Our globalrelate to the things that are closest to us—where experts look further than existing perceptionswe live, the companies we work for, the products Every time we make a decision informed by an of places to understand the broader forceswe use. And those decisions are often informed association with a place, it creates the future. that shape them, and as such, which specificby brands. As a result, brands are among the most When you multiply that with billions of people dimensions will come to be the most importantimportant drivers of the future. around the world every year, it can create waves drivers of choice in the future. This gives us that dictate the shape of our lives for decades to our Future 15 country brands—a collection ofThe same is true for country brands, but on a come. Just look at new decisions being made by brands that we believe will enjoy the strongestlarger scale. hundreds of millions of new Chinese consumers perceptions in years to come. to buy luxury goods, home appliances and tripsAs travelers, business leaders, employees, parents abroad. These affect global exchange rates, And finally, because our dimensions examineand consumers, we make decisions related to quality of life and new relationships the world over a balance of perceptions between pleasurablecountries every day: how we describe our identity, — many of which are informed by their intention experiences and ethical, environmental andwhere we choose to live, who and where we to buy a little bit of other cultures through their political considerations, we can also show howbuy our products from, where we educate our brands, capital cities and entertainment. the strongest future country brands—like thechildren, where we set up our companies and strongest brands of any kind—are those whichwhere we go on holiday. To the extent that we Our rankings show us what qualities people deliver what we want now as well as what societychoose countries in these contexts, our decisions associate with different places and their strength needs long term.are largely informed by the automatic associations of perception, giving us a good indication of thewe have with them. For instance, Switzerland is decisions they will make in relation to those placesgood for banking and watches, Japan is good for today. This will in turn have a positive or negativecars and electronic goods and Costa Rica is good effect on every country in the future.for coffee and beaches. Our choices are alsoCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 3
  • I N T RO D U C T I O N R A N K I N G S2012–13 Top 25 Country Brands1 SWITZERLAND +1 from 2012 2 CANADA -1 3 JAPAN +1 4 SWEDEN +3 5 NEW ZEALAND -26 AUSTRALIA -1 7 GERMANY +4 8 UNITED STATES -2 9 FINLAND -1 10 NORWAY +211 UNITED KINGDOM 12 +2 DENMARK +3 13 FRANCE -4 14 SINGAPORE +2 15 ITALY -516 MALDIVES +2 17 AUSTRIA 0 18 NETHERLANDS +5 19 SPAIN -5 20 MAURITIUS +221 IRELAND -1 22 ICELAND -3 23 UNITED ARAB EMIRATES +2 24 BERMUDA -3 25 COSTA RICA -1Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 4
  • I N T RO D U C T I O NOur MethodologyBehind our Methodology that help us assess a brand’s maturity as wellThis year’s CBI is based on more research and as the key challenges it has yet to address. Ourdata than ever before. The 2012-13 report draws HDM also allows for measurements of a country’sits insights from several core resources. relative performance and progress year-to-year. The HDM takes seven areas into consideration:Quantitative Research Awareness, Familiarity, Associations, Preference,We started by collecting quantitative data from Consideration, Decision/Visitation and Advocacy.3,600 opinion-formers and frequent internationalbusiness or leisure travelers. Drawn from 18 Global Expert Opinionscountries around the world, we tapped their Additionally, we connected with a carefullyinternational experience and global perspective to selected and diverse panel of experts in policyunderstand today’s landscape, as well as offer a and governance, international relations,deeper base of relevant information for investors economics and trade, international law, nationaland tourists alike. security, energy and climate change, urban and regional planning, immigration and the media.We used FutureBrand’s proprietary Hierarchical These experts brings a unique point of view toDecision Model, or HDM, to determine how key the study of country or regional evaluation.audiences—including residents, investors, tourists Each participated in individual “deep dive”and foreign governments—perceived a country’s interviews with the aim of identifying the broaderbrand, from a baseline of awareness all the way themes and future drivers impacting tomorrow’sup to brand advocacy. This model offers insights country brands.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 5
  • I N T RO D U C T I O N O ur M ethodology HIERARCHICAL ASSOCIATION DIMENSIONS DECISION MODEL (HDM) The basic elements of a country brands strength as we know it today. FutureBrands proprietary model for determining how key audiences perceive a countrys brand. VALUE QUALITY GOOD FOR HERITAGE TOURISM AWARENESS SYSTEM OF LIFE BUSINESS AND CULTURE Do key audiences know that the country exists? How top-of-mind is it? Political Education Investment History Value for Freedom System Climate Money Environmental Healthcare Advanced Art and Attractions FAMILIARITY Friendliness System Technology Culture How well do people know the country and its offerings? Stable Legal Standard Regulatory Authenticity Resort and Environment of Living Environment Lodging Options ASSOCIATIONS Tolerance Safety Skilled Natural Beauty Food What qualities come to mind when Workforce people think of the country? Freedom Job of Speech Opportunity PREFERENCE How highly do audiences esteem the country? Most Like to Does it resonate? Live In CONSIDERATION Is the country considered for a visit? What about for investment or to acquire or consume its products? HUMAN CAPITAL SUSTAINABILITY GOVERNANCE INVESTMENT DECISION/VISITATION INFLUENCE To what extend do people follow through GROWTH and visit the country or establish a commercial relationship? ADVOCACY Do visitors recommend the country to family, friends and colleagues? FUTURE DRIVERS The core elements that impact a country brands strength in the future.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 6
  • Robert CeveroProfessorDepartment of City and Regional PlanningUniversity of California, Berkeley:“The public impression of a country is important as a source of national pride. Invariably, people source part of their own identity from the image of their country.”Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 7
  • Themes of2012-13: Leadersat a GlanceA Model Nation for a Modern Era 9Global Symbols of Stability in a Tumultuous World 12An Iconic Brand in Decline 15Brand UK 18The Untapped Power of the PIIGS 21The Hard Benefits of Soft Power 27Island Nations on the Rise 30How Single-Minded Focus Pays Off 35Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 8
  • t h eme s o f 201 2-1 3: l e a der s at a g l a nceA Model Nation for a Modern EraSwitzerland (1)Backed by a strong value World Economic Forum and the International In contrast to the economic woes and widespreadsystem and stable economy, Olympic Committee. austerity measures of its European neighbors, Switzerland has managed to maintain economicthere’s nothing a peaceful Based in a particularly strong performance for Political Freedom, Environmental Friendliness and stability and hold its leading position in the Good for Business dimension for the third consecutivepopulation can’t do. Stable Legal Environment, Switzerland leads in the year. Though Switzerland’s natural resources are Value System dimension, following an impressive limited, the country’s high-value export industries six-place jump over last year’s rankings.Switzerland is a nation geared around its peopleand their needs. As a symbol of economic,cultural and social stability in our tumultuousworld, Switzerland shows that the cultivation The United Nations Office in Geneva is one exampleof freedom, tolerance, transparency and of an internationalenvironmentalism can put a country’s brand organization housedahead—even in difficult economic times. After in Switzerland—givingyear-on-year growth in the CBI, Switzerland residents unparalleledsurpasses two-time leader Canada to enjoy top access to major bodies of influence.overall honors.Switzerland’s role as an independent-yet-activemember of the international community has givenit the flexibility to build productive partnershipsand alliances while maintaining its historicneutrality. What’s more, the country is a haven forinternational organizations, giving Swiss citizensand residents front-door access to some of theworld’s most important and influential bodies,including the World Trade Organization, theInternational Committee for the Red Cross, theCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 9
  • t h eme s o f 201 2-1 3: l e a der s at a g l a nceThough Switzerland’s naturalresources are limited, the country’shigh-value export industries haveremained competitive by drawingon long-held associations withquality, efficiency and style.Photo: A Swiss-made watch, considered among the best in the world.have remained competitive, drawing on long-held leading brand for the 2012-13 CBI’s Investment and personal sense of stability. A strong visionassociations with quality, efficiency and style. Climate and Regulatory Environment dimensions. backed by government funding, broad support Though it’s yet to be seen if a loss in economic and public participation has made SwitzerlandAccording to the Wall Street Journal, the country’s confidence within the Eurozone will catch up with a model for future-focused urban planning andluxury economy has experienced a boom, thanks the Swiss economy in the long-term, today, the sustainability—as well as the number one brandin part to an influx of tourists from Asian nations country is perceived as a world-class destination for Standard of Living and Most Like to Live In.seeking to avoid high import duties. that continues to draw tourists, residents, businesses and investment. Apart from improving overall quality of life, theseRanked number one in the 2012-13 World initiatives have drawn global attention to what aEconomic Forum’s Global Competitiveness Switzerland rose one place to become the cohesive national identity can accomplish.Report for its sound institutional environment, number one country brand in the Quality of Life Revered for its natural beauty, Switzerland ranksexcellent infrastructure, efficient markets and dimension overall, with the Swiss commitment to number two for Resort and Lodging Optionstechnological innovations, Switzerland is also the long-term durability helping internalize a national and number five for Attractions in the TourismCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 10
  • t h eme s o f 201 2-1 3: l e a der s at a g l a nce dimension. Clearly, it’s a place people want to visit. In fact, Switzerland’s rankings in the Tourism and Heritage and Culture dimensions have increased sharply this year, with History up seven places, Art and Culture up fourteen places and Authenticity up four spots, to number three. Switzerland epitomizes the enduring country brand, with a favorable economic climate supported by a strong culture and set of values. Understanding the dynamics behind Switzerland’s success will help ensure its longevity and perhaps that of other nations. For now, the country continues to successfully drive demand, relevance, differentiation and authenticity in the face of a rapidly changing world. Banks such as this one in Bern are staples in the country’s long history of financial, political and cultural stability.COUNTRY HIERARCHICAL DECISION ASSOCIATION MODEL (HDM) Rank DIMENSIONS Rank Rank Rank Rank Rank VALUE 1 QUALITY 1 GOOD FOR 1 HERITAGE 4 TOURISM 4 SYSTEM OF LIFE BUSINESS AND CULTURESWITZERLAND AWARENESS 13 Political Freedom 1 Education System 2 Investment Climate 1 History 18 Value for Money 10 FAMILIARITY 11 Environ. 1 Healthcare 2 Advanced 5 Art and 10 Attractions 5 Friendly System Tech. Culture ASSOCIATIONS Stable Legal 1 Standard 1 Regulatory 1 Authentic 3 Resort and 2 Environ. of Living Environ. LodgingRANKINGS PREFERENCE 10 Tolerance 8 Safety 1 Skilled 5 Natural 1 Food 7 Workforce Beauty 11 5 2 1 CONSIDERATION 11 Freedom of Speech 4 Job Opp. 5 DECISION/VISIT 9 Most Like 1 to Live In ADVOCACY 19‘09 ‘10 ‘11 ‘12 118th Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1stCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 11
  • t h eme s o f 201 2-1 3: l e a der s at a g l a nceGlobal Symbols of Stability ina Tumultuous WorldSweden (4) Germany (7)Shelter from the storm? financial crisis to achieve over 3% GDP growth manage fiscal policy independent of its EuropeanLook no further than a holistic in 2011 alone. Perceived as the number three Union neighbors. That flexibility has paid off for brand for Investment Climate and Advanced the country, which ranks fifth overall in Goodset of positive qualities. Technology, as well as the number one brand for Skilled Workforce, Germany ranks second for Business. Sweden’s strong commodities and banking sectors have helped the country emerge overall in the Good for Business dimension. All from the global financial crisis, ultimately rankingConcern around Europe’s financial crisis continues of these rankings represent significant gains over it fifth for Regulatory Environment and twelfth forto grow, and with it a decline in confidence the past twelve months—meaning it’s clear that Investment Climate in this year’s CBI.among Eurozone economies. Germany is the perceptions around Germany’s economic climatecrucial exception. Its role as an economic driver are as robust as ever. Country brand strength is certainly a functionhas not gone unnoticed in the CBI rankings. of economic strength, but it’s important toWhile the economies of most European Union In contrast to Germany’s role as Eurozone creditor, recognize that every dimension of CBI workscountries have declined since 2008, Germany’s Sweden has seen economic growth in large part holistically to influence perception. For example,has grown—emerging quickly from the global because of its separate currency and ability to Germany’s critical role in the stabilization of theCOUNTRY HIERARCHICAL DECISION ASSOCIATION MODEL (HDM) Rank DIMENSIONS Rank Rank Rank Rank Rank VALUE 2 QUALITY 4 GOOD FOR 5 HERITAGE 12 TOURISM 14 SYSTEM OF LIFE BUSINESS AND CULTURESWEDEN AWARENESS 22 Political Freedom 4 Education System 1 Investment Climate 12 History 35 Value for Money 15 FAMILIARITY 27 Environ. 4 Healthcare 1 Advanced 4 Art and 14 Attractions 18 Friendly System Tech. Culture ASSOCIATIONS Stable Legal 2 Standard 2 Regulatory 5 Authentic 4 Resort and 12 Environ. of Living Environ. LodgingRANKINGS Skilled PREFERENCE 32 Tolerance 2 Safety 2 4 Natural 7 Food 12 Workforce Beauty 10 7 4 CONSIDERATION 28 Freedom of Speech 1 Job Opp. 14 DECISION/VISIT 27 Most Like 9 21 to Live In ADVOCACY 12‘09 ‘10 ‘11 ‘12 118th Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1stCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 12
  • t h eme s o f 201 2-1 3: l e a der s at a g l a nceSweden’s economic security and predictability have made it a globally-recognized pace-setter in everything from life expectancy topolitical participation.Photo: Stockholm’s iconic skyline and harbor in summer.European economy may account for an overall Consideration to Visitation to Advocacy, Co-operation and Development’s Better Life Indeximprovement in the Value System dimension, in Germany appears to be more than weathering consistently ranks Sweden above other memberwhich the country is up three places from last the European storm. countries in categories that include education,year to rank ninth overall. The country’s Political employment, life expectancy and politicalFreedom perception moved an impressive Similarly, Sweden’s economic security and participation—consistent with the country’s year-twelve places ahead to number three overall, predictability have provided a platform for the on-year CBI performance.while Freedom of Speech improved ten places creation of a social welfare system that is amongto number seven. Germany enjoyed improved the most effective in the world. Residents enjoy a Germany and Sweden have demonstrated howperception for the majority of the Quality of Life markedly high standard of living that is recognized powerful and strong country brands can be in theattributes, including Standard of Living, Safety by the majority of international rankings, including face of adversity. By creating environments whereand Most Like to Live In and is the strongest- the CBI. This year, Sweden is the number two people can succeed, both countries have workedperforming country brand for Job Opportunity. brand for Value System and number four for to drive preference in everything from tourism toAnd finally, with a consistent conversion from Quality of Life. The Organisation for Economic investment to consumer goods and talent.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 13
  • t h eme s o f 201 2-1 3: l e a der s at a g l a nceWhile the economies of mostEuropean Union countries havedeclined since 2008, Germany’shas grown—emerging quicklyfrom the global financial crisisto achieve over 3% GDP growthin 2011 alone.Photo: The European Central Bank’s headquartersin Frankfurt, Germany.COUNTRY HIERARCHICAL DECISION ASSOCIATION MODEL (HDM) Rank DIMENSIONS Rank Rank Rank Rank Rank VALUE 9 QUALITY 5 GOOD FOR 2 HERITAGE 7 TOURISM 7 SYSTEM OF LIFE BUSINESS AND CULTUREGERMANY AWARENESS 2 Political Freedom 3 Education System 5 Investment Climate 3 History 7 Value for Money 3 FAMILIARITY 4 Environ. 9 Healthcare 7 Advanced 3 Art and 6 Attractions 12 Friendly System Tech. Culture ASSOCIATIONS Stable Legal 6 Standard 5 Regulatory 6 Authentic 7 Resort and 11 Environ. of Living Environ. LodgingRANKINGS Skilled PREFERENCE 7 Tolerance 12 Safety 9 1 Natural 56 Food 8 Workforce Beauty 9 11 11 7 CONSIDERATION 5 Freedom of Speech 7 Job Opp. 1 DECISION/VISIT 3 Most Like 8 to Live In ADVOCACY 18‘09 ‘10 ‘11 ‘12 118th Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1stCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 14
  • t h eme s o f 201 2-1 3: l e a der s at a g l a nceAn Iconic Brand in DeclineUnited States of America (8)Even the most stable, Obama Effect lending credibility and renewedpromising and iconic country attention to traditionally American ideologies. That same year, brand USA enjoyed significantbrands can loose strength. improvements in perception across a number of CBI measures, namely Political Freedom, Standard of Living, and Most Like to Live In.The United States is undeniably one of themost widely recognized country brands in the However, in the face of successive fiscal crises inworld. Its belief system and ideals—among both the United States and Europe, the influencethem values like freedom, democracy, ambition and normative values of the West are beginningand individualism—are major cultural exports, to lose clout with a global audience. Perhaps The White House in Washington, D.C.—currently home to Presidentalongside its popular destinations. The historic as a consequence, the United States brand has Barack Obama. On the cusp of the 2012 presidential election,election of President Barack Obama in 2008 declined eight places in the overall index since citizens across the country and around the globe wait to see thefed these brand perceptions, with the so-called 2009—a year when the US led across a number political, social and cultural direction of America’s future.COUNTRY HIERARCHICAL DECISION ASSOCIATION MODEL (HDM) Rank DIMENSIONS Rank Rank Rank Rank Rank VALUE 14 QUALITY 15 GOOD FOR 8 HERITAGE 31 TOURISM 5 SYSTEM OF LIFE BUSINESS AND CULTUREUNITED STATES AWARENESS 7 Political Freedom 9 Education System 14 Investment Climate 7 History 31 Value for Money 5OF AMERICA FAMILIARITY 1 Environ. 30 Healthcare 19 Advanced 2 Art and 24 Attractions 2 Friendly System Tech. Culture ASSOCIATIONS Stable Legal 14 Standard 15 Regulatory 15 Authentic 20 Resort and 8 Environ. of Living Environ. LodgingRANKINGS PREFERENCE 1 Tolerance 16 Safety 19 Skilled 10 Natural 62 Food 18 Workforce Beauty 1 4 6 8 CONSIDERATION 1 2 Freedom of Speech 9 Job Opp. Most Like 7 13 DECISION/VISIT to Live In ADVOCACY 3‘09 ‘10 ‘11 ‘12 118th Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1stCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 15
  • cheme s on a me2-1 3: l eor subtitleg l a ncet h a p ter f 201 title a der s at aDespite recent economic challenges and a volatile social climate, theUS is also the number one brand in the world for Preference andConsideration—indicating that the country is both highly esteemed andfrequently considered for a visit.Photo: The always-bustling Times Square in New York City.of dimensions. Now, on the cusp of the 2012 governance—remains steady at number fourteen. Medicaid and private health programs—a fact thatpresidential election, citizens across the country But important attributes like Political Freedom, may influence the dimension in the future.and around the globe wait to see the political, Stable Legal Environment and Freedom of Speechsocial and cultural direction of America’s future. have suffered slight declines in perception. While Despite prevailing ideals of economic freedom, perception of the country’s Quality of Life has the US faces huge challenges in an uncertainThis November, the presidential campaign weakened—including Standard of Living, Job climate. Recent government interventionswill bring major tensions to the fore, Opportunity and Most Like to Live In—the US may have eroded the limits of public spending, withincluding domestic issues like the economy, be positioned to regain ground in the coming confidence fading in the government’s ability tounemployment, immigration and same-sex years. Today, the US holds a steady nineteenth promote or even sustain open markets—leadingmarriage; as well as major questions of foreign place for the Healthcare System ranking— many to argue that the current governmentpolicy, the quickly-approaching “fiscal cliff” albeit a surprisingly poor performance for the actively discourages entrepreneurship andand a staggering $14 trillion national debt. world’s largest economy. But the nation’s recent dynamic private sector investment. As such, theInterestingly, brand USA’s ranking for Value healthcare overhaul will see an additional 32 United States has suffered declining perceptionsSystem—a key measure of the perception of million Americans insured by 2016 through bothCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 16
  • t h eme s o f 201 2-1 3: l e a der s at a g l a ncein the area of Regulatory Environment, where theUS fell six places and out of the top ten.It’s no surprise, however, that US firms are still ator near the forefront of technological advances,especially in relation to computer, medical,aerospace and military technologies.Consequently, the country remains perceived asthe second strongest performing brand globallyfor Advanced Technology–an important measurefor any nation looking to cultivate an attractivebusiness climate.Brand USA saw significant increases in perceptionin the Heritage and Culture dimension this year,with its History ranking climbing eight places,Art and Culture sixteen and Authenticity thirteen.The US is also perceived as the strongest-performing brand in the world for Preferenceand Consideration—indicating that the country isboth highly esteemed and frequently consideredfor a visit, investment or purchase of its products.The US is also perceived as the second strongest a unified, approachable image of the country forperforming brand in the world for actual visits orthe forging of commercial relationships. global audiences. It’s no surprise that US firms As the world’s middle class continues to grow and are still at or near the forefrontThe importance of perceptions of the US brand increases in influence—especially the purchasing of technological advances, especially in relation to computer,and its vacillation of strength in recent years has power of citizens in countries like China, Brazilnot gone unnoticed by either the public or private and India—the competition for tourists andsector. In fact, the US government enacted its first business will only be fiercer. The White House medical, aerospace andlaw addressing country perceptions—the TravelPromotion Act of 2009—to create a dedicated is attempting to seize this opportunity with its agenda for improved tourism and travel to the military technologies.public-private partnership organization, Brand US in hopes of stimulating the national economy Photo: Infinite Loop in Cupertino, California; home of Apple, Inc.USA, focused on improving the national image and improving its global image. The “Discoverof the US. In addition, this year President Obama America” campaign will first target Canada, Japanunveiled the first national strategy on travel and and the UK, followed by Brazil and South Korea.tourism, touting tourism as “the number one But only time will tell if these concerted efforts willservice we export.” Such initiatives have sparked reverse the decline in ranking of the US countrythe campaign of “Discover America” which posits brand or how today’s investments will be reflected in future editions of the Country Brand Index.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 17
  • t h eme s o f 201 2-1 3: l e a der s at a g l a nceBrand UKUnited Kingdom (11)Humanity’s shining momentalso celebrates a countryregaining its strength.The United Kingdom has seen almost eighteenmonths of national celebrations and internationalcoverage. From the Royal Wedding in April 2011,to Queen Elizabeth’s Diamond Jubilee in June2012, to the London 2012 Olympic Games thissummer, the UK has captivated millions of peoplearound the world. And seeing significant gains ina country brand’s performance means impactingthe lives and livelihood of residents, visitors andpotential visitors in significant ways, long-term—a The opening ceremony, for instance, was widely The London 2012 opening ceremony was one of the definitive eventstask the UK has eagerly embraced. regarded as a success, bringing Danny Boyle’s in an eighteen month celebration of brand UK. celebration of British heritage and culture to lifeBrand UK’s performances for Awareness, through everything from a parachuting QueenFamiliarity and Preference are among the highest Elizabeth, to dancing NHS patients, to The Beatlesin the world—a fact that Olympic media exposure and Tim Berners-Lee. This fresh proclamation ofwill certainly reinforce. But with approximately 900 British-ness captured the imaginations of visitorsmillion opening ceremony viewers, over six million and commentators around the world—includingvisitors and 100,000 hours of broadcast coverage, the New York Times, who called the ceremonythe Games were an extraordinary opportunity “weirdly and unabashedly British.”to showcase British heritage, pageantry andnostalgia—not to mention project a new sense of These displays of cultural abundance—everythingambition for a modern Britain. from music, to fashion, to entertainment and beyond—confirmed brand UK, andCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 18
  • t h eme s o f 201 2-1 3: l e a der s at a g l a nceAnglo-American influence in general, as a cultural countries—England, Scotland, Wales and Northernicon and fixture in pop culture. While the UK’sperformance in CBI’s Heritage and Culture Ireland—face a critical political impasse with the possibility of Scottish independence looming on Brand UK faces an uncertaindimension slipped last year, the brand is back up the horizon. Events like the Olympics offered a future as the people of Scotlandto number five overall—demonstrating an upward very public platform in which the countries could prepare to go to the polls in 2014trend in strength that was further reinforced bythe creativity, humor and diversity of the opening present themselves as a united front to the world, albeit under the geographical entity of team for a referendum that could seeceremony. Notably, brand UK’s performance Great Britain, versus the political entity of the the country dissolve itself fromfor History improved two places to number five, United Kingdom. the United Kingdom, ending aArt and Culture held steady at number five, andAuthenticity is up eighteen placed to number The United Kingdom faces an uncertain future 305-year-old political union.twenty two—the UK’s best performance in this as the people of Scotland prepare to go to the Photo: Panorama of Edinburgh, Scotlandattribute since CBI’s inception. polls in 2014 for a referendum that could see the country dissolve itself from the United Kingdom,The fanfare and ubiquitous display of the union ending a 305-year-old political union. Latentjack is particularly timely, as this collective of tensions between England and Scotland, as farCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 19
  • t h eme s o f 201 2-1 3: l e a der s at a g l a ncereaching as the wars of independence 700 years Olympics will likely reinforce current impressions Money, jumping from seventy-fourth last year toago, are coming to the surface with the election that the UK prioritizes the environment, with the eighteenth place today. The country’s ranking forof the Scottish National party led by Alex Salmond, countrys rank for Environmental Friendliness Resort and Lodging Options also improved twentythe leading advocate for Scottish independence. already improving two places this year to two places to number twenty six.With the pageantry of the Olympics and Andy number eighteen.Murray’s win at the US Open completed, the Like any strong brand, the UK’s reputation is thefocus will now turn to the uncertain future of the The sovereign state also flexed its natural assets result of generations of interactions and won’tUnited Kingdom. during the 8,000-mile, 70-day Olympic Torch be radically determined by any one single event. Relay—which spanned the breadth of Britain— Eight years of country brand research have shownNevertheless, the United Kingdom continues to showcasing its natural landscapes and urban us that perceptions change slowly and over time,garner positive acclaim as a global leader across developments. Climbing an impressive twenty- but some brands are better equipped to harnessa diversity of attributes. For instance, 2012 marks four places to thirty-nine for the Natural Beauty new opportunities. China’s country brand, forthe UN’s official International Year of Sustainable attribute, it’s clear that perceptions are example, has steadily declined since the BeijingEnergy for All, as well as the final year in Britain’s growing stronger. Olympic Games—even though they were widelyfirst carbon budget. The UK has positioned itself regarded as a success. The lasting impacts of theas a willing leader in eco-consciousness, with the Not surprisingly, the UK’s ranking in Tourism UK’s banner year and the challenges to Britain’sLondon 2012’s Olympic organizing committee enjoyed the sharpest increase in performance identity over the Scottish question are difficult todelivering the most sustainable Games ever this year, moving eleven places ahead to number measure or predict, but the UK is certain to remainamidst mounting international scrutiny around nineteen overall. Many visitors were pleasantly a headline in the coming year.the environmental impact of major events. The surprised by hotel availability during the Games—positive impressions created through widespread which ultimately led to a widespread drop incoverage of the large number of recycling bins prices to stimulate demand. The country achievedacross the capital and within the park during the a dramatic shift in perception for Value forCOUNTRY HIERARCHICAL DECISION ASSOCIATION MODEL (HDM) Rank DIMENSIONS Rank Rank Rank Rank Rank VALUE 11 QUALITY 14 GOOD FOR 11 HERITAGE 5 TOURISM 19 SYSTEM OF LIFE BUSINESS AND CULTUREUNITED AWARENESS 10 Political Freedom 8 Education System 10 Investment Climate 18 History 5 Value for Money 18kingdom FAMILIARITY 3 Environ. 18 Healthcare 11 Advanced 10 Art and 5 Attractions 7 Friendly System Tech. Culture ASSOCIATIONS Stable Legal 10 Standard 16 Regulatory 12 Authentic 22 Resort and 26 Environ. of Living Environ. LodgingRANKINGS PREFERENCE 5 Tolerance 13 Safety 15 Skilled 11 Natural 39 Food 35 Workforce Beauty 11 CONSIDERATION 3 Freedom 11 Job Opp. 8 8 of Speech 9 13 DECISION/VISIT 4 Most Like 16 to Live In ADVOCACY 14‘09 ‘10 ‘11 ‘12 118th Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1stCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 20
  • t h eme s o f 201 2-1 3: l e a der s at a g l a nceThe Untapped Power of the PIIGSPortugal (32) Italy (15) Ireland (21) Greece (39) Spain (19)Economically troubled, the qualities they share is an unprecedented opportunity to leverage strong, well definedyes. But beautiful associations that could enhance their financial competitiveness and return them on a sustainable(and hopeful), too. growth path.Portugal, Italy, Ireland, Greece and Spain represent Yes, all five countries are facing crippling debt,a grouping of nations defined by the economic macroeconomic imbalances, rigid labor marketscrises they share, but also the cultural and natural and increasing austerity measures. But Italy, Spainassets they have to offer. While the term PIIGS and Ireland in particular remain strong, top-has largely been used in relation to each nation’s twenty-five brands. Greece, on the other hand,worsening financial climate (with the exception of has continued on a multi-year downward trendGreece), these country brands are not as rapidly in the CBI, suffering a twelve-place decline in Separated only by the Guadiana River, the towns of Alcoutimin decline as we might imagine. In fact, one of perception to rank it thirty-ninth overall. in Portugal and Sanlúcar in Spain are vivid examples of both countries’ cultural and natural assets.COUNTRY HIERARCHICAL DECISION ASSOCIATION MODEL (HDM) Rank DIMENSIONS Rank Rank Rank Rank Rank VALUE 25 QUALITY 35 GOOD FOR 38 HERITAGE 61 TOURISM 36 SYSTEM OF LIFE BUSINESS AND CULTUREportugal AWARENESS 12 Political Freedom 25 Education System 31 Investment Climate 47 History 40 Value for Money 30 FAMILIARITY 16 Environ. 33 Healthcare 35 Advanced 36 Art and 38 Attractions 48 Friendly System Tech. Culture ASSOCIATIONS Stable Legal 22 Standard 41 Regulatory 36 Authentic 69 Resort and 50 Environ. of Living Environ. LodgingRANKINGS PREFERENCE 29 Tolerance 24 Safety 37 Skilled 33 Natural 77 Food 16 Workforce Beauty CONSIDERATION 15 Freedom 26 Job Opp. 44 of Speech DECISION/VISIT 20 Most Like 32 to Live In 34 29 30 32 ADVOCACY 27‘09 ‘10 ‘11 ‘12 118th Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1stCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 21
  • t h eme s o f 201 2-1 3: l e a der s at a g l a ncePortugal’s ranking slipped two places this year, butthe country faces more declines in the midst of aneconomic crisis. Downgraded to junk status—orjust below the purview of investment—by Standard& Poor’s in January 2012, Portugal’s governmentfollows in the footsteps of Greece and Ireland inseeking a bailout from the European Union andInternational Monetary Fund. Prime Minister PedroPassos Coelho has promised to cut spendingand raise taxes in order to meet the terms of a 78billion Euro aid plan. These austerity measures arehurting an economy that already suffered fromslow growth rates, and as such, the country’sbrand has declined in Good for Business, fallingsix places to thirty-eighth overall. For InvestmentClimate and Regulatory Environment, Portugalalso experienced declines in perceptions this year.Similarly, rankings related to Greece’s businessclimate declined following a fifth year ofeconomic straights. As the country attempts A bank in Athens symbolizes Greece’s declining business climateto avoid default, Greece and its creditors are following a fifth year of economic straights.discussing a cut in the face value of its debt—putting the country’s already fragile three-partyCOUNTRY HIERARCHICAL DECISION ASSOCIATION MODEL (HDM) Rank DIMENSIONS Rank Rank Rank Rank Rank VALUE 72 QUALITY 87 GOOD FOR 78 HERITAGE 18 TOURISM 45 SYSTEM OF LIFE BUSINESS AND CULTUREGREECE AWARENESS 3 Political Freedom 88 Education System 87 Investment Climate 97 History 6 Value for Money 87 FAMILIARITY 9 Environ. 83 Healthcare 102 Advanced 63 Art and 11 Attractions 32 Friendly System Tech. Culture ASSOCIATIONS Stable Legal 77 Standard 85 Regulatory 78 Authentic 63 Resort and 53 Environ. of Living Environ. LodgingRANKINGS Skilled PREFERENCE 9 Tolerance 67 Safety 71 84 Natural 36 Food 23 Workforce Beauty CONSIDERATION 8 Freedom 59 Job Opp. 100 of Speech 14 DECISION/VISIT 8 Most Like 79 27 to Live In 22 39 ADVOCACY 37‘09 ‘10 ‘11 ‘12 118th Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1stCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 22
  • t h a p ter f 201 title a der s at acheme s on a me2-1 3: l eor subtitleg l a nceEven though the financial crisishas impacted perceptions aroundthe business climate of thesecountry brands—and for Greeceand Spain, Quality of Life as well—the recession has not preventedthem from earning some of thestrongest scores for Preferenceand Consideration globally.Photo: View from the island of Santorini, Greece.coalition in a position of placating the public size or economic power. However, a declining The country’s ranking for Job Opportunity fell tobefore passing another round of austerity economic climate could have real and lasting a very weak one hundred this year.measures. Greece’s Good for Business ranking effects on the quality of life for citizens andis now seventy-eighth, with Investment Climate residents alike. This is certainly the case for Similarly, a quarter of Spain’s workforce isfalling thirteen places to ninety seven, Regulatory Greece, a nation that suffered its sharpest already jobless and close to half of its youthEnvironment falling fifteen places to seventy declines in perception this year in the Quality are without work. Spain’s ranking for Jobeight, and Skilled Workforce falling seven places of Life dimension, falling thirty-four places to Opportunity accordingly fell four places toto eighty four—all at their lowest levels since the eighty seven in the country’s lowest-ranked forty-sixth, with Most Like to Live In andCBI’s inception. dimension overall. Inherently connected to Standard of Living also suffering significant a nation’s ability to offer its people gainful declines. Once considered some of the mostAs reported every year in the CBI, country brand employment, quality of life in Greece is attractive places to live in the world, the PIIGSstrength isn’t directly correlated with geographic significantly impaired by rising unemployment. face the brain-drain of high unemploymentCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 23
  • t h eme s o f 201 2-1 3: l e a der s at a g l a ncerates and the risk of losing their valuable Madrid-Barajas Airport isworkforces to better opportunities abroad. a physical symbol of Spain’s prowess in the PreferenceEven though the financial crisis has impacted and Consideration dimensions, and is one ofperceptions around the business climate of these Europe’s leading airportscountry brands–and for Greece and, to a lesser with a shuttle connection toextent, Spain, Quality of Life as well—the recession Barcelona that is also thehas not prevented them from earning some of the busiest air route onstrongest scores for Preference and Consideration the continent.globally. In fact, Italy jumped one place aheadto become the number one country brandfor Tourism overall, ranking as the strongest-performing brand for Food and third strongest forAttractions. Italy is also the strongest-performingcountry brand this year for History, Art and Cultureand the Heritage and Culture dimension overall.It’s clear that Italy’s iconic collection of luxury,heritage brands are still considered among theworld’s most valuable, with demand growingquickly in Chinese and Indian markets.The World Travel and Tourism Authority reportsthat spending among international business andleisure tourists is projected to increase in 2012 inboth Portugal and Greece.COUNTRY HIERARCHICAL DECISION ASSOCIATION MODEL (HDM) Rank DIMENSIONS Rank Rank Rank Rank Rank VALUE 21 QUALITY 25 GOOD FOR 24 HERITAGE 11 TOURISM 15 SYSTEM OF LIFE BUSINESS AND CULTURESPAIN AWARENESS 5 Political Freedom 20 Education System 25 Investment Climate 32 History 11 Value for Money 34 FAMILIARITY 6 Environ. 31 Healthcare 25 Advanced 22 Art and 4 Attractions 15 Friendly System Tech. Culture ASSOCIATIONS Stable Legal 23 Standard 27 Regulatory 24 Authentic 29 Resort and 24 Environ. of Living Environ. LodgingRANKINGS PREFERENCE 13 Tolerance 17 Safety 31 Skilled 36 Natural 26 Food 6 Workforce Beauty CONSIDERATION 7 Freedom 19 Job Opp. 46 of Speech 10 14 14 19 DECISION/VISIT 6 Most Like to Live In 20 ADVOCACY 4‘09 ‘10 ‘11 ‘12 118th Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1stCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 24
  • t h eme s o f 201 2-1 3: l e a der s at a g l a nce It’s clear that Italy’s iconic collection of luxury, heritage brands are still considered among the world’s most valuable, with demand growing quickly in Chinese and Indian markets. Photo: Exclusive boutiques in Piazza Filippo Meda, Milan, Italy.COUNTRY HIERARCHICAL DECISION ASSOCIATION MODEL (HDM) Rank DIMENSIONS Rank Rank Rank Rank Rank VALUE 23 QUALITY 21 GOOD FOR 23 HERITAGE 1 TOURISM 1 SYSTEM OF LIFE BUSINESS AND CULTUREITAly AWARENESS 8 Political Freedom 21 Education System 23 Investment Climate 38 History 1 Value for Money 28 FAMILIARITY 5 Environ. 35 Healthcare 28 Advanced 23 Art and 1 Attractions 3 Friendly System Tech. Culture ASSOCIATIONS Stable Legal 25 Standard 22 Regulatory 23 Authentic 19 Resort and 15 Environ. of Living Environ. LodgingRANKINGS PREFERENCE 4 Tolerance 22 Safety 33 Skilled 22 Natural 11 Food 1 Workforce Beauty CONSIDERATION 4 Freedom 18 Job Opp. 39 15 6 of Speech 12 10 DECISION/VISIT 5 Most Like 19 to Live In ADVOCACY 5‘09 ‘10 ‘11 ‘12 118th Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1stCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 25
  • t h eme s o f 201 2-1 3: l e a der s at a g l a nce In this year’s CBI, Ireland enjoyed improved perceptions for its Resort and Lodging Options, up twelve places to thirty-five, while Portugal improved its global perception for Value for Money, up fifteen places to number thirty. All of these factors are key indicators of a country’s attractiveness to tourists—and, perhaps, eventual investment. From history and language to art and cuisine, this grouping of nations is built on a strong foundation of heritage, values and citizenry. The PIIGS are home to some of Europe’s most iconic cities, celebrated cultural attractions and strongest brands—from leather goods and whiskey to high fashion and professional sports teams. Portugal, Italy, Ireland, Greece and Spain represent powerful countries in possession of an inordinate number of assets—all of them ready for the global stage. A lively scene in the Temple Bar area of Dublin. With almost half of its citizens under the age of 25, Dublin is not only one of Europe’s most youthful cities, but also one of its fastest growing tourist destinations.COUNTRY HIERARCHICAL DECISION ASSOCIATION MODEL (HDM) Rank DIMENSIONS Rank Rank Rank Rank Rank VALUE 26 QUALITY 28 GOOD FOR 25 HERITAGE 17 TOURISM 52 SYSTEM OF LIFE BUSINESS AND CULTUREireland AWARENESS 30 Political Freedom 27 Education System 22 Investment Climate 55 History 13 Value for Money 94 FAMILIARITY 21 Environ. 28 Healthcare 29 Advanced 24 Art and 28 Attractions 31 Friendly System Tech. Culture ASSOCIATIONS Stable Legal 30 Standard 31 Regulatory 26 Authentic 17 Resort and 35 Environ. of Living Environ. LodgingRANKINGS PREFERENCE 27 Tolerance 33 Safety 26 Skilled 21 Natural 21 Food 75 Workforce Beauty CONSIDERATION 27 Freedom 23 Job Opp. 34 of Speech 21 12 Most Like 17 DECISION/VISIT 24 25 20 to Live In ADVOCACY 20‘09 ‘10 ‘11 ‘12 118th Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1stCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 26
  • t h eme s o f 201 2-1 3: l e a der s at a g l a nceThe Hard Benefits of Soft PowerFinland (9) Norway (10) Denmark (12) Sweden (4)Brand Scandinavia may be As is the case for many nations with significanta role model for the world. soft power, country brand strength is directly proportionate to quality of life. From progressive politics to freedom of speech, countries gearedA country’s soft power is a measure of its ability toward the rights of their people will always scoreto attract and shape preferences—through highly. The four nations that constitute brandculture, institutions, political values and foreign Scandinavia have traditionally performed very wellpolicy—without coercive forms of persuasion. in the areas of Quality of Life, Value System andThese countries get what the want through Good for Business—key indicators of soft poweradmiration and respect, for everything from values and its successes.to ambitions to prosperity and openness. Forthose with soft power, country brand strength is In this year’s overall index, Sweden jumps to fourthnaturally a valuable form of currency. overall, Norway jumps to tenth, Demark climbs Underlying significant cultural events like the Night of the Arts Festival in Helsinki, Finland is considered one of the safest, stablest places to live.COUNTRY HIERARCHICAL DECISION ASSOCIATION MODEL (HDM) Rank DIMENSIONS Rank Rank Rank Rank Rank VALUE 5 QUALITY 6 GOOD FOR 9 HERITAGE 16 TOURISM 26 SYSTEM OF LIFE BUSINESS AND CULTUREFINLAND AWARENESS 33 Political Freedom 11 Education System 4 Investment Climate 11 History 48 Value for Money 21 FAMILIARITY 37 Environ. 2 Healthcare 5 Advanced 11 Art and 20 Attractions 43 Friendly System Tech. Culture ASSOCIATIONS Stable Legal 4 Standard 6 Regulatory 9 Authentic 6 Resort and 28 Environ. of Living Environ. LodgingRANKINGS Skilled PREFERENCE 42 Tolerance 3 Safety 3 6 Natural 3 Food 19 Workforce Beauty 9 CONSIDERATION 36 Freedom 10 Job Opp. 12 8 8 of Speech 16 DECISION/VISIT 42 Most Like 6 to Live In ADVOCACY 21‘09 ‘10 ‘11 ‘12 118th Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1stCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 27
  • t h eme s o f 201 2-1 3: l e a der s at a g l a nce to twelfth and Finland drops one place while Norway is a model country for its focus on still remaining in the top ten. These countries’ empowering residents. In fact, the country reputations are increasingly positive, but what consistently ranks at the top of various does this strength mean for brand Scandinavia in international indexes, including the World the international community? Happiness Index. Proud of its stability and committed to serving its residents, Norway uses In an era when many nations have prioritized innovative programing to support a welfare sound global citizenship, brand Scandinavia is an state. For example, the country has turned the important international player and social model. profits from tightened petroleum regulations From Denmark’s ongoing role as host to the to fund social safety nets for its residents. A Copenhagen Summit, to Sweden’s internationally- comprehensive communication plan with the renowned welfare system, these nations are public following last year’s tragic massacre—paired committed to freedom, well-being and quality of with the quick, efficient response of public life—in turn inspiring others to visit or do business. health and safety officials—also demonstrated the nation’s ability to pull together, even Sweden is a country of social innovators with the during a crisis. great potential to influence European integration. Marked by moderation, simplicity and efficiency, Ranked fifth in the world for Value System and the Swedish way of life earns a number two fourth for Stable Legal Environment, Finland’s ranking for Standard of Living. Everything about three-party democratic system has been the Sweden’s brand exemplifies these values, from country’s backbone since gaining independenceThe Øresund Bridge seamlessly links the cities of Copenhagen, the simple, clean lines of IKEA furniture to the from Russia in 1917. In the near centuryDenmark and Malmö, Sweden. Even with distinct identities, the understated and affordable street style of global since, Finland has updated and improved itscountries of Brand Scandinavia share many of the same strengths. fashion brand H&M. infrastructure, boasting high ratings for its socialCOUNTRY HIERARCHICAL DECISION ASSOCIATION MODEL (HDM) Rank DIMENSIONS Rank Rank Rank Rank Rank VALUE 3 QUALITY 2 GOOD FOR 6 HERITAGE 22 TOURISM 23 SYSTEM OF LIFE BUSINESS AND CULTUREDENMARK AWARENESS 36 Political Freedom 6 Education System 3 Investment Climate 10 History 30 Value for Money 26 FAMILIARITY 35 Environ. 5 Healthcare 3 Advanced 12 Art and 16 Attractions 29 Friendly System Tech. Culture ASSOCIATIONS Stable Legal 3 Standard 3 Regulatory 2 Authentic 21 Resort and 25 Environ. of Living Environ. LodgingRANKINGS Skilled PREFERENCE 56 Tolerance 4 Safety 4 3 Natural 34 Food 34 Workforce Beauty 12 CONSIDERATION 38 Freedom 3 Job Opp. 3 of Speech 15 DECISION/VISIT 30 Most Like 5 19 to Live In 23 ADVOCACY 17‘09 ‘10 ‘11 ‘12 118th Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1stCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 28
  • t h eme s o f 201 2-1 3: l e a der s at a g l a nceframeworks, environmentalism and health and Brand Scandinavia is essentially a culturaleducation efforts. With a history of progressive entrepreneur, bringing its moral leadership andpolitics—Finland was first in the world to give strong example to bare on the international stage.women the right to vote—today the country is From sponsoring the Nobel Prize, to providingperceived as the second strongest brand in the generous foreign aid, to monitoring human rightsworld for Environmental Friendliness, fourth abuses in the international community, thesestrongest for Education System, fifth strongest countries have created the model for cooperativefor Healthcare System and is considered the third culture in the world.safest nation in the world.Collectively, Sweden, Finland, Norway andDenmark all appear in the top ten for Tolerance,Freedom of Speech, Standard of Living, Safety,Most Like to Live In, Education System, HealthcareSystem, Stable Legal Environment and SkilledWorkforce—making for a staggering regionalperformance. And while they underperform Celebrating a national holidayslightly for some measures of Heritage and near the Royal Palace, Norway’sCulture, including History, they all enjoy strong residents can legitimately claimperformances for Authenticity and Art and Culture. to be among the happiest inTheirs are unique brands of cultural relevance the world.and influence, most visible in the way each nationtreats its residents.COUNTRY HIERARCHICAL DECISION ASSOCIATION MODEL (HDM) Rank DIMENSIONS Rank Rank Rank Rank Rank VALUE 7 QUALITY 7 GOOD FOR 10 HERITAGE 15 TOURISM 21 SYSTEM OF LIFE BUSINESS AND CULTURENORWAY AWARENESS 35 Political Freedom 10 Education System 6 Investment Climate 15 History 37 Value for Money 17 FAMILIARITY 36 Environ. 3 Healthcare 6 Advanced 15 Art and 18 Attractions 16 Friendly System Tech. Culture ASSOCIATIONS Stable Legal 5 Standard 8 Regulatory 3 Authentic 2 Resort and 23 Environ. of Living Environ. LodgingRANKINGS Skilled PREFERENCE 39 Tolerance 6 Safety 6 9 Natural 8 Food 45 Workforce Beauty 13 12 10 CONSIDERATION DECISION/VISIT 39 37 Freedom of Speech 8 Job Opp. Most Like 21 7 22 to Live In ADVOCACY 25‘09 ‘10 ‘11 ‘12 118th Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1stCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 29
  • t h eme s o f 201 2-1 3: l e a der s at a g l a nceIsland Nations on the RiseMauritius (20) Maldives (16) Bermuda (24)The world’s smallest nations In addition to their exceptional natural beauty, all three islands have managed to build credible andmay just enjoy the biggest globally connected economies with generous tax structures and favorable investment laws. This,benefits of flexibility. together with a well-developed infrastructure around tourism, has attracted offshore businessSmall in size but large in might, Mauritius, and business travelers—effectively putting thesethe Maldives and Bermuda are countries countries on the map.that intelligently leverage their assets. Takinginnovative approaches to governance and Twenty-sixth in the world for Political Freedomland management, they’ve been able to tackle and twenty-eighth for Stable Legal Environment,significant challenges, draw attention to a number Mauritius’ multilingual population, politicalof important global issues, and in turn, drive stability and reliable legal framework have Mauritius’ beaches and resorts are a major driver for the country’senough preference to earn consistently high provided for sound financial regulations and a top rankings in Natural Beauty and Resort and Lodging Options.rankings in the CBI year-on-year.COUNTRY HIERARCHICAL DECISION ASSOCIATION MODEL (HDM) Rank DIMENSIONS Rank Rank Rank Rank Rank VALUE 24 QUALITY 23 GOOD FOR 30 HERITAGE 24 TOURISM 9 SYSTEM OF LIFE BUSINESS AND CULTUREMauritius AWARENESS 109 Political Freedom 26 Education System 34 Investment Climate 17 History 58 Value for Money 13 FAMILIARITY 73 Environ. 15 Healthcare 38 Advanced 41 Art and 43 Attractions 20 Friendly System Tech. Culture ASSOCIATIONS Stable Legal 28 Standard 33 Regulatory 22 Authentic 25 Resort and 1 Environ. of Living Environ. LodgingRANKINGS PREFERENCE 28 Tolerance 27 Safety 22 Skilled 39 Natural 2 Food 13 Workforce Beauty CONSIDERATION 43 Freedom 24 Job Opp. 27 of Speech 26 21 22 20 DECISION/VISIT 56 Most Like to Live In 12 ADVOCACY 26‘09 ‘10 ‘11 ‘12 118th Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1stCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 30
  • t h eme s o f 201 2-1 3: l e a der s at a g l a nceMauritius’ multilingualpopulation, political stabilityand reliable legal frameworkhave provided for sound financialregulations and a robusteconomic climate.Photo: Port Louis at night, Mauritius’ capital.robust economic climate. With a Singaporean Bermuda has also engineered its offering in an reputation for robust, attractive and incentivizedapproach to planning, Mauritius has diversified intelligent way, moving from an island nation business environments is stronger than ever.into one industry after another—beginning with driven by tourism to a thriving financial center withsugar, then textiles, then moving into long-haul one of the world’s largest fully-electronic offshore Though similar to Mauritius and Bermuda fortourism. Over the past decade, however, the securities markets. As a home for many foreign its natural beauty and tourism industry, thecountry has extended itself, parlaying double companies, especially insurance, reinsurance Maldives makes a slightly different contribution totaxation agreements with more than three dozen and investment funds, Bermuda has jumped nine the international community. Former Presidentcountries—most notably India and a number of places ahead to number twenty-two for Good Mohamed Nasheed has played an important,its African neighbors. Ranked thirtieth overall for for Business—making it the country’s strongest visible role in the global climate changeGood for Business, Mauritius is perceived as a association dimension this year. Ranked twenty discussion. Upon his election, he promised tostrong performer for both Investment Climate and five or under for Investment Climate, Regulatory make the Maldives carbon neutral within a decadeRegulatory Environment. Environment and Skilled Workforce, the country’s and famously held a cabinet meeting underwaterCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 31
  • t h eme s o f 201 2-1 3: l e a der s at a g l a nce Bermuda has engineered its offering in an intelligent way, moving from an island nation driven by tourism to a thriving financial center with one of the world’s largest fully-electronic offshore securities markets. Photo: The capital city of Hamilton and its harbor.COUNTRY HIERARCHICAL DECISION ASSOCIATION MODEL (HDM) Rank DIMENSIONS Rank Rank Rank Rank Rank VALUE 22 QUALITY 27 GOOD FOR 22 HERITAGE 29 TOURISM 24 SYSTEM OF LIFE BUSINESS AND CULTUREbermuda AWARENESS 88 Political Freedom 24 Education System 39 Investment Climate 24 History 39 Value for Money 35 FAMILIARITY 68 Environ. 27 Healthcare 30 Advanced 26 Art and 53 Attractions 33 Friendly System Tech. Culture ASSOCIATIONS Stable Legal 21 Standard 25 Regulatory 21 Authentic 31 Resort and 20 Environ. of Living Environ. LodgingRANKINGS PREFERENCE 49 Tolerance 18 Safety 24 Skilled 25 Natural 12 Food 31 Workforce Beauty CONSIDERATION 54 Freedom 22 Job Opp. 30 of Speech 15 70 Most Like 22 24 DECISION/VISIT 18 21 to Live In ADVOCACY 36‘09 ‘10 ‘11 ‘12 118th Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1stCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 32
  • t h eme s o f 201 2-1 3: l e a der s at a g l a nceto emphasize the threat his nation faces from A typical island resort in therising seas. As such, the Maldives has earned Maldives, where seaplanes arestrong rankings for Environmental Friendliness the most popular—and sometimesyear-on-year, ranked sixteenth for the attribute in only—means of transportation.the 2012-13 CBI report.In addition to their greater visibility on the globalstage, these three countries are important playerswithin their individual regions. Mauritius–the CBIsstrongest-performing country brand in Africaand member of the African Union and SouthernAfrican Development Community—gives investorspreferential access to African markets, significantlyoutperforming its neighbors across everydimension of the CBI.Bermuda is also perceived as the number onecountry brand in its region, outperforming itsCaribbean and Central American neighborsfor Good for Business, Quality of Life andValue System. The nation has capitalized onits location and regulatory environment to attractbusiness from the United States, Canada andthe UK in particular.COUNTRY HIERARCHICAL DECISION ASSOCIATION MODEL (HDM) Rank DIMENSIONS Rank Rank Rank Rank Rank VALUE 34 QUALITY 41 GOOD FOR 53 HERITAGE 34 TOURISM 20 SYSTEM OF LIFE BUSINESS AND CULTUREmaldives AWARENESS 73 Political Freedom 51 Education System 77 Investment Climate 57 History 94 Value for Money 27 FAMILIARITY 50 Environ. 16 Healthcare 47 Advanced 61 Art and 85 Attractions 37 Friendly System Tech. Culture ASSOCIATIONS Stable Legal 42 Standard 43 Regulatory 32 Authentic 10 Resort and 3 Environ. of Living Environ. LodgingRANKINGS PREFERENCE 8 Tolerance 37 Safety 29 Skilled 57 Natural 4 Food 39 Workforce Beauty CONSIDERATION 21 Freedom 56 Job Opp. 78 of Speech 19 16 18 16 DECISION/VISIT 48 Most Like to Live In 21 ADVOCACY 9‘09 ‘10 ‘11 ‘12 118th Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1stCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 33
  • t h eme s o f 201 2-1 3: l e a der s at a g l a nceThe Maldives is perceived as the strongest protests and instability. This year, the Maldivesbrand in Asia Pacific but also plays an important experienced a fall in perception around its Valuerole in facilitating regional cooperation, System, down seven places to number thirty fourparticularly between India and Pakistan. As in the dimension overall. After a year of positivea regional standout in Tourism, the country rankings in 2011, the country fell eleven places tois perceived third in the world for Resort and thirty seven for Tolerance, sixteen places to fifty sixLodging Options, fourth for Natural Beauty and for Freedom of Speech, and twelve places to fiftytenth for Authenticity. one for Political Freedom.Maldives has faced allegations of major human Mauritius, the Maldives and Bermuda haverights abuses this year, with a marked drop in positioned themselves well, demonstrating aperception around free media and stable politics. brand of resourcefulness and resilience that’sAfter winning the nation’s first-ever democratic helped them weather 2008’s banking meltdownelection in 2008, President Nasheed became a as well as the European financial crisis. But as theglobally celebrated leader and noted defender Maldives has shown, it’s critically important toof democracy and the environment. However, maintain stable governments that uphold the rulea coup mounted by rebel police and opposition of law. In light of this year’s events, the countryfigures forced him to resign in February 2012. risks being a place people monitor from afar,The country has since dealt with an eruption of rather than visiting in person.Home to one of UNESCO’s selectWorld Biosphere Reserves,Maldives has made climate changea top priority.Photo: The Maldives anemone fish, a native species in theprotected Maldivian reefs.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 34
  • t h eme s o f 201 2-1 3: l e a der s at a g l a nceHow Single-Minded Focus Pays OffSingapore (14) UAE (23) Costa Rica (25)Three cases prove that Singapore’s Esplanade—one of the world’s busiest art centers—when specialized brands are is one example of the city-state’swell-managed, the results investments in tourism.are incomparable.Singapore: Small but MightySingapore is indisputably a country that punchesabove its weight. With just 272 square miles,limited natural resources and a population of justfive million, brand Singapore has nonethelessbeen a high-ranking country throughout CBI’shistory. The nation is also ranked first in the worldfor ease of doing business by the World Bank;number two in the World Economic Forum’sGlobal Competitive Index; the fourth mostlivable city in Asia according to the EconomistIntelligence Unit; and number eleven in theEconomist’s Quality of Life Index. Small, yes. Butclearly mighty.Ranked fourteenth overall in this year’s CBI,Singapore is a powerful example of strong countrybranding at play.Once considered as a nanny state, and knownfor its authoritarian policies, this city-state hasrepositioned itself as a gateway to Asia for theCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 35
  • t h eme s o f 201 2-1 3: l e a der s at a g l a nceinternational business community. Perceived The deliberate and successful management of and Stable Legal Environment. With top-twentyas the fourth strongest brand for the Good for brand Singapore has moved the country beyond rankings for every measure in the Good forBusiness dimension overall, Singapore is one the role of regional leader, making it a truly global Business dimension, the UAE has built a solid andof the largest financial centers in the world— and highly competitive city. robust business climate for citizens, expatriatesultimately seen as a safe, efficient and corruption- and foreign investors alike.free haven for investment and business. Advancedby the visionary leadership of individuals like UAE: Looking Beyond Oil To achieve its goal of being a model country inMinister Mentor Lee Kuan Yew—the world’s the future, the UAE is actively investing in its ownlongest serving former Prime Minister—Singapore Much attention has been given to the United Arab commercial and tourism ecosystems. A massiveis the second strongest-performing brand in Emirates recently, particularly as onlookers speculate construction boom, expanding manufacturingthe world for Investment Climate, sixth in the the impact the global economic downtown will base and a thriving services sector are propellingworld for Advanced Technology and seventh for have on one of the richest and most quickly- the UAE into a potential leadership position.Regulatory Environment. developing nations in the world. Recognizing the need to diversify its offering and create newSingapore’s effort to attract a targeted business corridors for revenue and investment, the CBI’saudience extends beyond just foreign and trade twenty-third strongest brand aspires to leadershippolicy; instead, the country is creating a sanctuary across a variety of areas, from the economy tofor business executives and expatriates alike by health, education and the environment.investing in initiatives relating to CBIs measures ofTourism and Quality of Life. Ranked eleventh for With the vision to be “among the best countries inthe Quality of Life dimension overall, Singapore the world by 2021,” the UAE is already perceivedalso achieved top ten rankings for Education as a strong performer for Job Opportunity,System, Safety, Job Opportunity and Most Like to Standard of Living, Quality of Life and improvesLive In. year-on-year in the measures of Political FreedomCOUNTRY HIERARCHICAL DECISION ASSOCIATION MODEL (HDM) Rank DIMENSIONS Rank Rank Rank Rank Rank VALUE 17 QUALITY 11 GOOD FOR 4 HERITAGE 62 TOURISM 18 SYSTEM OF LIFE BUSINESS AND CULTUREsingapore AWARENESS 27 Political Freedom 22 Education System 9 Investment Climate 2 History 78 Value for Money 16 FAMILIARITY 14 Environ. 13 Healthcare 14 Advanced 6 Art and 41 Attractions 30 Friendly System Tech. Culture ASSOCIATIONS Stable Legal 13 Standard 11 Regulatory 7 Authentic 36 Resort and 27 Environ. of Living Environ. LodgingRANKINGS Skilled PREFERENCE 24 Tolerance 23 Safety 7 8 Natural 86 Food 4 Workforce Beauty CONSIDERATION 19 Freedom 27 Job Opp. 10 13 15 16 14 DECISION/VISIT 14 of Speech Most Like to Live In 10 ADVOCACY 23‘09 ‘10 ‘11 ‘12 118th Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1stCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 36
  • t h eme s o f 201 2-1 3: l e a der s at a g l a nce To achieve its goal of being a model country in the future, the UAE is actively investing in its own commercial and tourism ecosystems. Photo: Terminal 3 of Dubai International Aiport, opened in 2010.COUNTRY HIERARCHICAL DECISION ASSOCIATION MODEL (HDM) Rank DIMENSIONS Rank Rank Rank Rank Rank VALUE 33 QUALITY 17 GOOD FOR 13 HERITAGE 63 TOURISM 12 SYSTEM OF LIFE BUSINESS AND CULTUREUNITED ARAb AWARENESS 65 Political Freedom 46 Education System 20 Investment Climate 6 History 57 Value for Money 11EMIRATES FAMILIARITY 45 Environ. 25 Healthcare 17 Advanced 7 Art and 50 Attractions 13 Friendly System Tech. Culture ASSOCIATIONS Stable Legal 19 Standard 13 Regulatory 17 Authentic 38 Resort and 5 Environ. of Living Environ. LodgingRANKINGS PREFERENCE 25 Tolerance 40 Safety 18 Skilled 19 Natural 92 Food 20 Workforce Beauty CONSIDERATION 34 Freedom 57 Job Opp. 4 of Speech 23 28 25 23 DECISION/VISIT 66 39 Most Like to Live In 17 ADVOCACY‘09 ‘10 ‘11 ‘12 118th Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1stCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 37
  • t h eme s o f 201 2-1 3: l e a der s at a g l a nceCosta Rica: Reaching for Green That said, Costa Rica has suffered declines in the Quality of Life dimension, particularly whereCosta Rica’s vision is simple, compelling and clear: Healthcare System, Education System, Standard ofbe the first carbon-neutral country in the world by Living and Job Opportunity are concerned.2021. A relatively small force on the global stage,Costa Rica is carving out a niche that leverages Costa Rica has planned to achieve its carbon-its natural assets. With 80 percent of its energy neutral status through careful budgeting, proactivealready generated through renewable sources legislation and the introduction of a certificationlike water and wind, the country is a recognized program for local industry. While its vision ispioneer in eco-tourism and a well-established inspired, these carbon-neutral investments willdestination for those with sustainability in mind. be most successful if they’re able provide the platforms for strengthening key brand measures inCosta Rica’s tourism industry attracts nearly two the Quality of Life dimension.million visitors per year, making it one of the mostvisited nations in Central America. Naturally, thecountry is perceived as a strong performer forTourism, having climbed eight places to twenty-eighth overall while enjoying top-thirty rankingsfor Value for Money, Attractions and Resort A relatively small force on theand Lodging Options. The country earned top global stage, Costa Rica is carvingtwenty five scores for both Natural Beauty and out a niche that leverages its natural assets.Environmental Friendliness—proving that thecountry’s natural treasures are a boonfor business. Photo: The principal crater of Irazu Volcano National Park in Costa Rica.COUNTRY HIERARCHICAL DECISION ASSOCIATION MODEL (HDM) Rank DIMENSIONS Rank Rank Rank Rank Rank VALUE 36 QUALITY 51 GOOD FOR 57 HERITAGE 30 TOURISM 28 SYSTEM OF LIFE BUSINESS AND CULTURECoSTA RICA AWARENESS 63 Political Freedom 34 Education System 50 Investment Climate 48 History 56 Value for Money 14 FAMILIARITY 67 Environ. 23 Healthcare 56 Advanced 58 Art and 42 Attractions 27 Friendly System Tech. Culture ASSOCIATIONS Stable Legal 54 Standard 53 Regulatory 43 Authentic 18 Resort and 30 Environ. of Living Environ. LodgingRANKINGS PREFERENCE 48 Tolerance 43 Safety 48 Skilled 69 Natural 18 Food 50 Workforce Beauty CONSIDERATION 55 Freedom 42 Job Opp. 68 of Speech Most Like 25 DECISION/VISIT 67 39 to Live In 24 28 27 33 ADVOCACY‘09 ‘10 ‘11 ‘12 118th Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1st Top 60 1stCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 38
  • Franz GradyAssociate of the EastWest Institute:“The general misconception is that as a great power you have to dominate in every single field–economy, military, politics. But in the future, you’ll see a shift towards specialized strengths from countries.”Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 39
  • TomorrowsLeading CountryBrands:The Future 15Future Strength Determined by Future Drivers 41Meet the Future 15 43Future 15 Country Rankings 44Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 40
  • Tomo R row s l e a ding country br a nd s: T H E FU T U R E 1 5Future Strength Determinedby Future DriversOur global panel of experts helped us HIERARCHICAL ASSOCIATION DIMENSIONSidentify the driving forces that will reshape DECISION MODEL (HDM) The basic elements of a country brandsthe global landscape of tomorrow. In FutureBrands proprietary model for determining how key audiences perceive a countrys brand. strength as we know it today.collaboration with these experts, we have VALUE QUALITY GOOD FOR HERITAGE TOURISMdetermined the most critical and indicative AWARENESS Do key audiences know that the country exists? SYSTEM OF LIFE BUSINESS & CULTUREdrivers of future country brand strength. How top-of-mind is it? Political Freedom Education System Investment Climate History Value for Money FAMILIARITY Environmental Healthcare Advanced Art and Attractions How well do people know the country and Friendliness System Technology CultureThese six ‘future drivers’ build on CBIs its offerings? Stable Legal Standard Regulatory Authenticity Resort andexisting dimensions, but allow for future ASSOCIATIONS Environment of Living Environment Lodging Options Tolerance Safety Skilled Natural Beauty Foodprojections of country performance. What qualities come to mind when people think of the country? WorkforceEach future driver was quantified against Freedom of Speech Job Opportunity PREFERENCEspecific categories, with the composite How highly do audiences esteem the country? Most Like to Does it resonate? Live Inscore providing the basis of our insightsand rankings of tomorrow’s leading CONSIDERATION Is the country considered for a visit? What about for investment or to acquire orcountry brands. consume its products? HUMAN CAPITAL SUSTAINABILITY DECISION/VISITATION GOVERNANCE To what extend do people follow through INVESTMENT INFLUENCE and visit the country or establish a GROWTH commercial relationship? ADVOCACY Do visitors recommend the country to family, friends and colleagues? FUTURE DRIVERS The core elements that impact a country brands strength in the future.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 41
  • Tomo R row s l e a ding country br a nd s: T H E FU T U R E 1 5Our inaugural Future 15 country brands are drawn Human Capital connects to the Quality of Life Influence is the final future driver, and is closelyfrom around the world and represent nations dimension. Citizenry plays a huge role in the linked to the Heritage and Culture dimension.we’ve identified as having great potential across a establishment and maintenance of a cohesive Here, we assess a nation’s weight in the globalvariety of areas. national identity, and as such, a population’s community, via economic, political and cultural strength in education, productivity, health influence. This is a key measure of power and oftenAmong the six future drivers that helped identify and happiness will undoubtedly impact its determines global trends in investment, socialthese countries, Governance emerged as one progress in the future. Human capital identifies attitudes, political policies and cultural preferences.of the single most important factors. Deeply tied the competencies, knowledge and valuesto a country’s Value System ranking, governance underpinning a nation’s vision. Once again, a high ranking in any one of theseincludes a government’s ability to effectively dimensions may not guarantee a country’s futureimplement policies that protect its people and Growth is closely aligned with the Good success. Instead, a combined commitmentgoals, as well as factors like the presence of for Business dimension and represents the across each of these elements can help empowercorruption on a macro- or micro-level. A strong, current momentum behind a countrys growth a country to meet its goal and become astable legal framework is also an essential part of in population, GDP, exports and more. By global force.this driver, balanced by enforcement mechanisms understanding a country’s trajectory, we can makethat are corruption free and reliable. Good informed predictions about its ability to prospergovernance incorporates a balance of criteria and in the future.informs a nation’s vision for the future. Sustainability is also closely linked to the GoodInvestment is also tied to the Value System for Business dimension, and measures a country’sdimension and reflects a country’s financial financial management, resource dependence andcommitment to its future vision. By supporting adherence to international norms. What’s more, itinfrastructure, education, healthcare, assesses whether or not a country has developedcommunications, technology and international a strategy for continued success and progress.partnership, a country asserts that it is ready tostrengthen its brand.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 42
  • Tomo R row s l e a ding country br a nd s: T H E FU T U R E 1 5Meet the UNITED ARAB EMIRATES 1Future 15 CHILE 2 MALAYSIA 3 QATAR 4 ESTONIA 5 CHINA 6 ICELAND 7 MEXICO 8 Brazil 9 turkey 10 thailand 11 colombia 12 india 13 KAZAKHSTAN 14 vietnam 15 * Numbers in parentheses designate overall rankingCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 43
  • Tomo R row s l e a ding country br a nd s: T H E FU T U R E 1 5 FUTURE 15 FUTURE DRIVERS RANKING RANKINGS 1 Governance Investment Human Capital Growth Sustainability Influence 3 8 9 2 3 4United Arab As the forerunner in this year’s Future 15, the United Arab Emirates received high scores in Despite this positive momentum, the UAE faces a number of obstacles to becoming a true globalEmirates several of the constituent future drivers. leader. The largest and most conspicuous of these issues surrounds the question of wealth (overall rank 23) One of the country’s strongest indicators of distribution. Currently, Abu Dhabi receives an success is the way it capitalizes on its wealth enormous amount of investment, while other of natural resources, exercising excellent parts of the country go unnoticed. Without a fairer government foresight in surrounding policy system for wealth distribution and investment in and investment. Revenues from oil reserves are the future, societal divisions will grow as quickly as invested domestically and abroad in a way that the population’s unmet expectations. directly impacts the country’s Human Capital score, specifically in education, happiness andThe UAE uses its wealth productivity. The country’s long-term financialto manage growth—if sustainability is promising, to say the least.only it can address major Although the country’s size and populationsocietal inequities. are relatively small, the UAE is committed to encouraging and managing growth. In the past year alone, the countrys reported gains in population, GDP and exports. Coupled with strategic investments in infrastructure, research, development and trade relations, this growth has created a strong model of success for small nations rich in resources.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 44
  • Tomo R row s l e a ding country br a nd s: T H E FU T U R E 1 5 FUTURE 15 FUTURE DRIVERS RANKING RANKINGS 2 Governance Investment Human Capital Growth Sustainability Influence 4 4 3 11 4 9Chile (overall rank 34) A peaceful, democratic country with a respected rule of law and low incidence of corruption,Chile is an exceptional example of governance gone of the United Nations, Chile plays an important role in summits related to human rights, social development, women and the environment. right. Sound domestic investments serve the Regional alliances are important to Chile’s economic interests of its people, and innovative programs and political strategy, resulting in its leadership in around education, infrastructure and healthcare many facets of South American politics. have considerably reduced poverty, fostered growth and established Chile’s population as In light of its assets and strategic policies, Chile’s one of the most educated and skilled in barriers to success are very few—but veryChile’s government is South America. critical. As a country of 17 million people, Chile’s population may never match that of globalmaking all the right moves Working toward the target of being a developed heavyweights Brazil, Mexico, China, India orin working toward nation by 2020, government officials have actively pursued policies that eliminate trade the United States. Moreover, Chile is still heavily dependent on primary resources—which, despitenationwide development. barriers, encourage private investment and government attempts at the contrary, may limit improve overall quality of life. As a result, Chileans economic growth in the future. report deep satisfaction with their lives and demonstrate high levels of civic participation and national pride—despite scoring below average in several OECD categories. In addition to the progress made towards its 2020 goal, Chile has successfully risen to a position of prominence internationally. An active memberCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 45
  • Tomo R row s l e a ding country br a nd s: T H E FU T U R E 1 5 FUTURE 15 FUTURE DRIVERS RANKING RANKINGS 3 Governance Investment Human Capital Growth Sustainability Influence 7 3 2 8 10 12Malaysia When it comes to economic reforms,investment Building off of its vast natural resources and (overall rank 36) and human capital, Malaysia is a state to be commitment to economic openness, the mirrored. With an emerging, multi-sector government is investing in infrastructure and economy driven by exports and supported by a research and development as it pursues policies to well-developed regulatory system, this encourage innovation within its workforce. Southeast Asian country, long-known for its religious and social tolerance, has quickly And finally, Malaysia’s commitment to security climbed its way up the economic ladder. This has has helped the nation create regional helped transform Malaysia from a raw materials alliances—particularly around piracy that couldMalaysia’s workforce, tourism exporter to an industrialized country with a highly skilled workforce. jeopardize shared trade routes as well as the livelihood of its residents.and vast resources may just bethe secret to its success. In addition to exports, the Malaysian government has capitalized on the countrys unique terrain and animal life to support a thriving tourism sector. Over 15 percent of the world’s species are found on the country’s 127,000 square miles—making it one of the most bio-diverse areas in the world. That said, industrialization, deforestation and rural agriculture threaten this strength.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 46
  • Tomo R row s l e a ding country br a nd s: T H E FU T U R E 1 5 FUTURE 15 FUTURE DRIVERS RANKING RANKINGS 4 Governance Investment Human Capital Growth Sustainability Influence 2 9 13 1 6 7Qatar Qatar is yet another small country making its way As home base for the well-regarded Al Jazeera (overall rank 72) to the top, thanks in large part to its economic, news network, Qatar is also respected as an political and cultural influence globally. Boasting authority on information and events in the Middle one of the world’s highest per capita GDPs, Qatar East, as well as around the world. Even in sports has long benefitted from the profits off its vast and entertainment, Qatar has managed to elevate natural resources—predominantly oil and natural its global role following its winning bid for the gas. By investing public funds internally and 2022 World Cup. externally, the country has managed to not only strengthen its infrastructure, but also contribute Although human capital may not be Qatar’sQatar’s natural resources to large-scale projects around the world. Qatar is a prime example of reverse colonialism, strongest asset, the government is focused on improving the well-being of its citizens in thepave the way for investing heavily in markets, businesses and even long-term by investing in services that impactinternational prominence. infrastructural updates within Europe. quality of life. For that reason, Qataris report a relatively high level of satisfaction and happiness, In addition to the country’s financial and political despite playing little to no role in influencing influence in Europe, Qatar has played a pivotal the country’s policies and political institutions. role in rebuilding the Middle East and North Regardless, this could be a major obstacle to Africa following last year’s protests in the area. Qatar’s success in the future, as more and more As regional leaders, the Qatari government has nations in the region demand opportunities to supported the people of Libya and pushed the engage with democratic institutions. Arab League to support its rebels. Today, the country plays a similar role in the Syrian crisis.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 47
  • Tomo R row s l e a ding country br a nd s: T H E FU T U R E 1 5 FUTURE 15 FUTURE DRIVERS RANKING RANKINGS 5 Governance Investment Human Capital Growth Sustainability Influence 5 5 6 22 7 8Estonia While most of Europe continues to struggle In terms of sustainability, Estonian officials (overall rank 56) through the effects of the 2008 global financial have pursued investments in renewable energy crisis and subsequent events, some countries are resources with the goal of earning energy showing signs of hope and improvement. Despite independence and meeting the environmental high unemployment and disputes over energy protection standards upheld throughout Europe. dependence with Russia, Estonia is a country to watch in the coming years. Investing heavily in Recent policy initiatives point to Estonia’s efforts infrastructure, trade relations and research and to more closely align with the European Union— development, this Balkan state could be a future culturally and politically—while distancing itself fromEager to expand its reach, leader in the region. Russia. Moving forward, the government hopes to promote a more transparent and open democraticEstonia invests in itself. In the last year, Estonia has increased its process that encourages citizens to participate. This information technologies capacity nationally, move, combined with continued economic growth making it an ideal home for start-ups and tech and internal investment, could make Estonia a companies. In turn, this has led to a growing model for other Eastern European countries. export sector that’s helped integrate Estonia into the global economy and benefit from international trade partnerships. Estonia has also implemented and enforced pro-business policies that promote free market activity based in sound fiscal policy.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 48
  • Tomo R row s l e a ding country br a nd s: T H E FU T U R E 1 5 FUTURE 15 FUTURE DRIVERS RANKING RANKINGS 6 Governance Investment Human Capital Growth Sustainability Influence 15 10 10 9 5 1China With an economy that surpassed Japans to be value-added manufacturing and now faces a (overall rank 66) the second largest in the world in 2011, China challenge shifting from export-led growth to an is an unmistakable force on the global stage. internal, consumer-driven economy. Traditionally praised for its financial prowess, booming export economy, seemingly limitless In the end, however, a rigid political system may human capital and foreign exchange reserves of be the country’s biggest obstacle to success. By up to $2.4 trillion, China’s vision for the future will not including citizen participation at higher levels continue to foster growth and sustainability. of government or more broadly in decisions that affect quality of life, China may feel theThe world’s second largest China’s reach and influence is expanding as foreign aid and infrastructure development remain destabilizing effect of unmet expectations among a growing middle class.economy diversifies. important parts of its policy strategy. China gives aid without conditions to secure the resources it needs for development—in turn forging partnerships with great potential. Internal investment has also helped China develop its capabilities in infrastructure, education and research and development. Over the past decade, the country has moved to diversify into higherCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 49
  • Tomo R row s l e a ding country br a nd s: T H E FU T U R E 1 5 FUTURE 15 FUTURE DRIVERS RANKING RANKINGS 7 Governance Investment Human Capital Growth Sustainability Influence 1 1 1 20 26 22Iceland Known for its Viking past, off-the-beaten-path In light of its size and location, Iceland’s future (overall rank 22) attractions and natural beauty, Iceland has made will never mirror that of China or India. But the huge strides in turning its economy around after small country is nonetheless capitalizing on its hitting rock bottom in the Eurozone crisis. With history, culture and location to create durable strong, stable democratic institutions, a diversified brand strength. Recently, Icelandair launched a economy, robust fishing industry and strong new business initiative offering free stopovers in commitment to human development and social Iceland when traveling between North American cohesion, this island nation is a micro-model for and Europe. Forward-looking business strategies balanced, well-functioning societies. like this will help demonstrate the country’sWith its identity and natural Although the population of Iceland doesn’t assets and treasures, encouraging tourism and awareness around a nation that’s taken itselfresources intact, Iceland exceed 320,000, its government continuously from bankruptcy to thriving economy in a matteremerges strong. pursues policies focused on the quality, satisfaction and competitiveness of its citizenry. of years. Investments in education, infrastructure, healthcare and research and development constitute an important part of public and private spending. In turn, the people of Iceland are among the most skilled and educated in the world. A sense of community is an important foundation for Icelandic society, making its protected, timeless traditions important cultural assets.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 50
  • Tomo R row s l e a ding country br a nd s: T H E FU T U R E 1 5 FUTURE 15 FUTURE DRIVERS RANKING RANKINGS 8 Governance Investment Human Capital Growth Sustainability Influence 16 11 14 3 11 5Mexico A country notorious for its criminal organizations, However, the country’s poor security, trans- (overall rank 51) corruption and drug trafficking, the recent political national threats and pervasive corruption pose and legal restructuring in Mexico is leaving many great barriers to Mexico realizing its potential. To experts optimistic about the country’s prospects. address the debilitating levels of corruption, the Serving as a vital link in the global supply chain, government has enacted proactive measures to Mexico is becoming increasingly assertive with its reform the country’s legal framework and stabilize foreign policy agenda and continues to diversify its democratic institutions. its economy through multi-sector development. The fruits of these significant labors can already Poverty and a lack of access to education andMexico is a country striving be seen in a number of areas—like the creation of a highly-developed aerospace industry—as well training programs are also a systemic problem, leading to a largely unproductive workforce.for a second chance. as the establishment of several important Increased internal investment in these types of trade agreements. services is critical to Mexico’s success as well as to the happiness of its citizens. With nearly 115 million citizens and consistently positive growth rates in population, GDP and Although growing pains are to be expected in exports, Mexico is positioned to become a bigger this process, experts are predicting a positive player on the global stage. Mexico’s location, turn for the country’s political, economic population, access to resources and development and social systems in coming years. If these potential—combined with a stabilizing political predictions hold true, Mexico could well become framework and progress policies—can help push a global heavyweight. Mexico into a regional leadership position.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 51
  • Tomo R row s l e a ding country br a nd s: T H E FU T U R E 1 5 FUTURE 15 FUTURE DRIVERS RANKING RANKINGS 9 Governance Investment Human Capital Growth Sustainability Influence 17 14 4 21 15 2Brazil Brazil is already on the minds of many investors, to pursue protectionist policies could discourage (overall rank 28) politicians and tourists—for very good reason. business investment in the future. With more With steady economic growth, a burgeoning liberal business policies, Brazil could help its middle class and growing consumer demand, a manufacturing sector grow at a speed comparable geography rich in natural resources and beauty to that of its South American neighbors. and a proactive government eager to play an important regional and international role, Brazil Moving forward with nationwide development continues to capitalize on its greatest assets. plans, Brazilian authorities face a major and impossible-to-ignore obstacle: equality andRich in resources, natural International recognition and infrastructure continue to grow as this South American human development. The government has worked hard to create social safety nets for itsbeauty and even possibility, powerhouse prepares to host the 2014 World people, but these investments tend to affect urbanBrazil must focus on its Cup and 2016 Olympic Games. Public amenities and transportation—including the internationally and coastal populations exclusively. Economic growth and regional power are certainly key topeople first. acclaimed Bus Rapid Transit system—will improve brand Brazil’s strength in the future, but equality in many of Brazil’s key cities, which is important and sustainability must be among its top priorities to the staging of these two events as well as for as well. Brazil’s future. The government has renewed its interest in supporting economic diversity, actively seeking out ways to expand the country’s manufacturing while creating environments conducive to innovation. That said, the government’s tendencyCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 52
  • Tomo R row s l e a ding country br a nd s: T H E FU T U R E 1 5 FUTURE 15 FUTURE DRIVERS RANKING RANKINGS 10 Governance Investment Human Capital Growth Sustainability Influence 12 13 15 19 12 6Turkey Turkey is a new favorite in political, economic Tourism is a vital and ever-growing aspect of the (overall rank 45) and cultural circles. Long heralded as a successful Turkish economy, with its historical value and model of Islamic democracy, Turkey is proving to geographical assets appealing to tourists from be all the more important as other Arab countries around the world. Moving forward, it will be seek to redefine themselves following the Arab important for Turkey to assert itself as a regional Spring. Often considered a hybrid with distinct leader and strategically leverage this position as ties to both the Middle East and the West, Turkey a bridge between different areas. Turkey will continues to vie for EU membership while playing need to improve its democratic institutions, a key leadership role in the region. focus on meeting the needs of its citizens andAs the Arab world regains Apart from its broad foreign policy initiatives and deal with regional issues in a diplomatic manner— including Syrian refugees—if it hopes to carryits footing, Turkey political aspirations, Turkey is an economic titan more influence globally.emerges unscathed. with a strong export economy, key connections to Western markets, skilled workforce and evolving rule of law with market and business protections. Economists marvel at the speed at which Turkey’s economy has grown despite a struggling stock market and falling currency. In fact, Turkey’s growth outpaces that of China. Additionally, European workforces have witnessed reverse migration patterns, with Turkish workers choosing to leave low-paying European jobs for skill-training and higher wage opportunities at home.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 53
  • Tomo R row s l e a ding country br a nd s: T H E FU T U R E 1 5 FUTURE 15 FUTURE DRIVERS RANKING RANKINGS 11 Governance Investment Human Capital Growth Sustainability Influence 11 7 7 12 20 14Thailand As industrialization, human capital and workforce developed to avoid catastrophes of the same (overall rank 26) productivity become more pervasive across nature in the future. This clear commitment to Asia, different countries are gearing up to take a industry and infrastructure resulted in over 99% of leading role in its development. With economic the businesses affected by the floods choosing to ambitions—and the human resources to achieve remain in Thailand. them—Thailand has the potential to be Southeast Asia’s next major manufacturing hub. Thailand’s story proves that stable governance structures that serve the needs of its people are Moving away from a traditional raw material and essential to the success and potential of a country.As Asia’s economy diversifies, agrarian economy, Thailand seeks to expand and diversify its economy by developing itsThailand steps up as a manufacturing sector and encouraging tourism.manufacturing hub. With high levels of government investment in infrastructure and a regulatory environment that promotes private sector development, the Thai government seem eager to specialize as a business hotspot. To that end, it only took a few months for the country to rebuild and jumpstart its commercial operations following the 2011 flood that destroyed many industrial zones in Bangkok at a staggering $46 billion loss to the country. Additionally, a reinforced drainage and dam system has beenCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 54
  • Tomo R row s l e a ding country br a nd s: T H E FU T U R E 1 5 FUTURE 15 FUTURE DRIVERS RANKING RANKINGS 12 Governance Investment Human Capital Growth Sustainability Influence 14 12 16 10 16 10Colombia Once a country associated with corruption and around the globe, notable Colombian city officials (overall rank 85) drug violence, Colombia has shown the world have adopted growth strategies that promote what effective governance can accomplish in social integration and the expansion of educational a short amount of time. While security is still a and professional opportunities for citizens. concern for the country, a stable government with popular support has helped Colombia make By strengthening public transportation systems significant steps in the right direction. and creating more public spaces for meaningful engagement, the Colombian government is Colombia’s economy is booming, with GDP and hoping to increase connectivity and encourageIn a changing, growing export growth rates increasing annually. That’s largely due to the country’s strategy of creating discussions, creativity and national pride. In turn, this may strengthen the country’s economic andColombia, old appearances environments conducive to investment while political prospects.may be the most deceiving establishing key regional and international trade partners. Within the past year, Moody’s, Standard And while security will continue to be an issue inof all. & Poor’s and Fitch have all taken steps to upgrade the country for years to come, new policies and Colombias investment ranking and change its strategies are beginning to breed stability and foreign debt rating to stable. prosperity for Colombia’s residents. Along with new international confidence in its economic prospects, Colombia has benefited from progressive policies and investment strategies, all designed to improve quality of life for its citizens. Now a model for urban plannersCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 55
  • Tomo R row s l e a ding country br a nd s: T H E FU T U R E 1 5 FUTURE 15 FUTURE DRIVERS RANKING RANKINGS 13 Governance Investment Human Capital Growth Sustainability Influence 23 17 11 4 17 3India Despite facing significant obstacles in the public Situated in a part of the world historically favored (overall rank 42) sphere, India’s growth and influence have helped by Western governments, India’s policymakers the Asian giant dominate CBIs Future 15. With have great potential for global impact. a population of nearly 1.24 billion people and some of the highest annual export growth That being said, India’s government often lacks the rates in the world, economic success has long stability and foresight necessary for sustainable been a springboard for India’s rise to power and global prominence. Additionally, an enormous prominence. What’s more, India continues to disparity between rich and poor indicates a larger wow with its rich culture, historic sites and deep issue of human rights abuses. As the economyBy investing in infrastructure heritage. Indian music, movies and food are found in every corner of the globe. grows and an affluent, empowered middle class emerges, these issues will strain the government.and education, India proves If dealt with properly and progressively, India couldthat even giants have a Education plays a major role in this country’s rise, as do the technical and scientific exchanges become a leading economic, political and cultural power in the world.soft side. encouraged by its government. In the past decade, tech companies have developed strong ties with India, tapping its workforce as they expand within or relocate to the country. Politically, India maintains an important position, thanks in part to its large population as well as its economic capacity and geographic location.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 56
  • Tomo R row s l e a ding country br a nd s: T H E FU T U R E 1 5 FUTURE 15 FUTURE DRIVERS RANKING RANKINGS 14 Governance Investment Human Capital Growth Sustainability Influence 10 21 8 13 2 15Kazakhstan In the midst of a struggling region, Kazakhstan government has developed a strategy to increase is a Caucasus state showing promising signs gas production and agriculture. Investments in of growth—potentially setting the country on infrastructure, such as aggressively developing a course to lead in the region. Although there railway and flight paths to key trading partners, are significant barriers to the country brand’s are also key indicators of Kazakhstan’s vision. An success, Kazakhstan has made a concerted effort ability to facilitate the movement of its primary to align more closely with its European neighbors and secondary products through advanced over the past few years, acting as a gateway to infrastructure is a key indicator of future success. many important regions. In this capacity, theStrong among its government has made its intentions known by participating in various international bodies while Kazakhstan has consistently received high ratings in its labor efficiency and ease of doing businessneighbors and eager to showing strong adherence to international norms. indices in recent years—proving a commitment togrow, Kazakhstan is Education exchanges have also become a key creating an environment conducive to economic growth. If the Kazakh government continues tomaking strides towards a tool by which Kazakhstan can enrich its existing implement policies that encourage economicpromising tomorrow. human capital and expose the world to Kazakh culture and customs. Along with major strides competitiveness, while pushing an inclusive and cohesive national identity backed by a stable, being made in the educational sector, the Kazakh representative system of governance, then this government is investing heavily in healthcare rising star could be an important country to watch. research and development. Natural resources—oil principal among them— are important to Kazakhstans economy. In an effort to avoid dependence on oil revenues, theCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 57
  • Tomo R row s l e a ding country br a nd s: T H E FU T U R E 1 5 FUTURE 15 FUTURE DRIVERS RANKING RANKINGS 15 Governance Investment Human Capital Growth Sustainability Influence 18 18 21 5 18 17Vietnam Widely known for its cultural capital, Vietnam will need to shift its focus not only (overall rank 69) entrepreneurial spirit and educated workforce, on economic reforms and policies, but also to Vietnam is making important strides in its rise to the needs of its citizens. Internal investment in global prominence. As traditional manufacturing infrastructure, healthcare, education and spreads to other corners of the Asian continent, research and development—combined with Vietnam is exhibiting a new capacity to lead in anti-corruption policies and a fairer, more this sector. With cheap and abundant labor and representative legal framework—are crucial to an economy well positioned for diversification, brand Vietnam’s sustainability. Vietnam’s potential economic climb seemsWell known for its cultural inevitable. With an export growth rate of 15.1% and a GDP growth rate of 5.9%, the Vietnameseassets, Vietnam expands economy is already benefitting from these assets.into industry. But Vietnam has a long road ahead if it is to achieve sustainable growth and a prominent role on the global stage. Drug trafficking, public health concerns and high poverty rates continue to plague the country—and its system of governance leaves room for improvement.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 58
  • Sadanand DhumeResident Fellow at the American EnterpriseInstitute for Public Policy Research:“There are two levels of analysis for a country: comparing it to its own past and comparing it to its peers.”The FutureBrand Country Brand Index 2012–13Country Brand Index 2012–13 © All Rights Reserved © FutureBrand, All Rights Reserved 59 59
  • The RegionReportMiddle East and North Africa 61Europe 62Latin America 63Africa 64Asia Pacific 65Country Brands in a State of Decline 66Country Brand Index 2012–13 Index 2012–13The FutureBrand Country Brand © All Rights Reserved 60
  • T H E R EG I O N R EP O R T ON THE RISE * Shown in alphabetical orderMiddle East and EGYPT (58)North Africa After six decades of military-backed autocracy, 2012 ushered in a new era for Egypt, with its first democratically elected president, Mohamed Morsi. 2011’s economic downturn and widespread censorship during citizen protests—Egypt’s wealth of educated, job-seeking young adults Tasked with defining the future of the country, are creating a prime business and investment President Morsi has vowed to fulfill the goals of climate. Egypt’s continued success will depend onThe Middle East and North Africa (MENA) is the Egyptian revolution through freedom and investment security, access to resources anda region in flux. A land of iconic destinations, democracy. Despite recent fallbacks—including a strong legal framework.historic landmarks and cultural icons, it’salso home to countries facing difficult livingconditions, massive unemployment, restrictedcivil liberties, war, violence and widespreadpolitical corruption. QATAR (72) As a Future 15 brand in this year’s CBI, Qatar widespread civil unrest and taking an ongoingWhile the full effects of the Arab Spring are still performs strongly across all six of our future drivers role in addressing the Libyan and Syrian crises.developing, our experts predict that this massive of strength, especially in its economic, political and Additionally, as the home base for the well-historical event will be a catalyst for a continued cultural influence. Qatar has shown its potential as respected Al Jazeera news network and host nationwave of democratic transitions across the region. a regional leader, playing a pivotal part in rebuilding for the upcoming 2022 World Cup, Qatar is gainingAdditionally, as new energy sources continue the Middle East and North Africa after last year’s ground in media, sports and entertainment.to be discovered elsewhere in the world, MENAnations will begin to loose leverage over theircountry counterparts – issuing a challenge toinnovate and diversify.New democracies and economic diversity present TUNISIA (91)countless opportunities for nations to elevatetheir standing—particularly in a region of largely Tunisia is a country brand on the rise, with a for freedom, equality and justice. With a moderateunderdeveloped country brands. growing open economy, a wealthy, qualified Islamist party in power, a constitutional assembly diaspora community and a successful transition in office, an increasingly educated society and a to democratic rule. As the country behind the strong middle class, Tunisia is a bright spot in the Arab Spring, today its focused on building a new region—and proof of the influence citizens can have order that balances the freedoms of democracy on their country’s future. and religion while delivering on a growing desireCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 61
  • T H E R EG I O N R EP O R T ON THE RISE * Shown in alphabetical orderEurope ESTONIA (56) As a Future 15 country on the rise, Estonia is a businesses and tech companies, Estonia’s export model for other Eastern European countries. sector growth has enabled full integration in theGenerally recognized as a region where people Building positive momentum from economic global economy. While the country has madeare free to live openly, Europe is home to a large turmoil, Estonia’s investments in infrastructure, strategic efforts to align with the culture and policiesnumber of mature and positively perceived trade relations and research and development have of the EU, its volatile relationship with Russia couldcountry brands. Once symbolic of the very values positioned this Balkan state as a future powerhouse hinder future growth.essential to modern society, Europe has recently and regional leader. Considered a haven for start-upfaced rising sovereign debt levels, an economicdownturn and a decline in the overall standardof living—impairing the region’s ability to impactand influence the international community. Our ICELAND (22)experts predict that, without an injection ofinnovation and entrepreneurial spirit, the Eurozone Iceland is both a Future 15 country brand and of what a well-functioning society looks like. Towill continue to contract, conservative policies a country with some of the strongest positive maintain these strengths, Iceland’s investments inwill rise and normative power will be lost. Overall, momentum in the region, having carved a path the competitive spirit, productivity and happiness ofhowever, Europe continues to reign as a niche from bankruptcy to a thriving economy in just a its citizens should be national priorities constitutingpower in high-tech products, military intelligence matter of years. With strong and stable democratic a significant portion of public and private spending.and effective peacekeeping and diplomacy. institutions, a diverse economy supported by a While Iceland may never be as influential as China or robust fishing industry and a commitment to human India, capitalizing on its history and culture will drive development, this island nation is a micro-model durable brand strength. TURKEY (45) A global Future 15 country, Turkey is also making plays an important leadership role in the MENA great strides in its region—making it a country brand region as member countries redefine themselves to watch. Long heralded as a successful example in the aftermath of the Arab Spring. As an of Islamic democracy, Turkey balances its distinct economic titan with a strong export economy, key Middle Eastern roots with political and economic international partnerships and an educated, skilled foundations based in Western models. While Turkey workforce, Turkey has a bright future ahead. continues to campaign for EU membership, it alsoCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 62
  • T H E R EG I O N R EP O R T ON THE RISE * Shown in alphabetical orderLatin America CHILE (34) As this year’s number two Future 15 country the lives of the Chilean people. A leader in Latin brand, Chile exemplifies what stable governance America and a global powerhouse in the making,Over the past ten years, Latin America has and internally-focused investment can do for the alliances and partnerships are an important aspectdeveloped a strong sense of collective identity. prosperity of a nation. Steadily working towards its of Chile’s economic and political strategy. TheWhile individual member countries vary in their goal of being a developed nation by the year 2020, country is an active member of the UN and plays anhistories, economies, societies, politics and overall Chile has already started eliminating trade barriers, important role in summits relating to human rights,brand strength, they largely share a desire to build encouraging private investment and improving social development and the environment.a strong and successful future. Despite battlingissues around safety, economic stability and socialstratification in the past, two decades of relativepolitical calm have allowed the region’s countries PERU (40)to positively and effectively address theseconcerns. With the recent discovery of energy Peru is a country on the rise—with its stable political contracts for mining, roads, airports and natural gasreserves, Latin America has also become home climate, interest in free trade agreements, growing pipelines to private companies over the next twelveto growing investment and consumer markets. investments, large natural gas reserves and focus on months. While overall momentum is positive, Peru’sIncreasingly seen by the world as a partner and a securing educational opportunities for its residents. persistent issues in the illicit drug trade, violent rebelgrowing global influence, our experts have touted In a bid to make exports more competitive while activity and child labor need to be addressed beforeLatin America as “the region to watch.” increasing the private sector’s involvement in public it can make significant, lasting gains. projects, Peru’s government will award significant URUGUAY (52) Democratic and progressing steadily, Uruguay means institutional investors are increasingly enjoys consistent economic growth, increasingly open to involvement in Uruguay. In a move that strong ties with Europe and numerous free trade could shift the country from agenda taker to agreements. In a move that reinforces its role agenda setter, its agricultural output may soon as a country on the rise, Uruguays status was be supplemented by a legalized marijuana trade upgraded to investment grade by both Moody’s and following the government’s unveiling of a security Standard & Poor’s in the past twelve months. Citing plan that takes a fresh approach to the war on drugs. strengthening economic performance, this boostCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 63
  • T H E R EG I O N R EP O R T ON THE RISE * Shown in alphabetical orderAfrica NAMIBIA (48) With consistently high CBI ratings each year, While it is the driest country in sub-Saharan Namibia demonstrates a significant amount of Africa, a newly discovered water source may holdThroughout CBI’s eight-year history, almost every future potential, particularly within its own region. the potential for major impact on the country’sAfrican country brand has underperformed, With democratic institutions and a stable political forecasted development. Barriers to Namibia’sindicating lingering, poor perceptions of this environment, diverse wildlife and large amounts success include its relatively small population andlargely under-developed continent. Decades of of mineral-rich, available land, Namibia is well- the public health issues they face.devastating disease, malnutrition, corruption, positioned for continued forward momentum.civil unrest and war—alongside a burgeoningpopulation and poor capital infrastructure—haveput the region up against significant odds. Thatsaid, it is an area with tremendous potential. NIGERIA (109)Our experts have been quick to point out Home to abundant oil reserves and other valuable capabilities for the future. The government alsoAfricas untapped assets—from an abundance of agricultural resources, Africa’s most populous explored solutions to support its goal of giving birthagricultural resources to a growing middle class, nation is rapidly gaining ground in the region. to the first generation of HIV-free babies in recentand countless other opportunities for growth. And Understanding the importance of infrastructure times. Despite some skepticism, Nigeria’s statewhile our Future 15 does not include an African investment for future growth, the Nigerian minister of health says that expanding healthcarecountry brand this year, a number of up-and- government recently signed an agreement to operations, public education and a proposed anti-coming standouts
are worth noting. build enough oil refineries to safeguard processing discrimination legislation may make that possible. SENEGAL (90) Senegal’s visionary leadership have been the force The country was recently recognized as a key behind its trusted democratic institutions, stable partner in the fight against the growing threat economy, advanced infrastructure, educated of West African extremism. However, high population and mineral-rich land—ultimately putting unemployment, unfavorable business conditions, it on the map as a strong player in Africa. With an an unstable power supply, food insecurity and active, engaged population, Senegal wants to play a widespread poverty present significant obstacles more prominent international role. that need to be overcome for further progress.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 64
  • T H E R EG I O N R EP O R T ON THE RISE * Shown in alphabetical orderAsia Pacific INDONESIA (78) Rich in minerals, politically mature and home to a Financial Crisis of the late 1990s. In a bid to boost fast-growing economy and middle class, Indonesia economic growth and enhance its sovereign creditA thriving juxtaposition of culture and commerce, is on track to be an important player in the region. rating, the country continues to invest in infrastructuralthe Asia Pacific region is as diverse as it is wide. In line with its strategy to make Indonesia one of the improvements. Indonesia has also forged valuableBirthplace to some of the world’s best performing world’s ten biggest economies by 2025, January trade partnerships with other emerging countries,companies, brands and products, the region is 2012 saw the country regain its investment grade including a fellow rising star, Nigeria.also home to a significant number of country from Moody’s for the first time since the Asianbrands that may be the powerhouse leadersof tomorrow.Although the area is still in flux and confronting PHILIPPINES (95)uncertainties, experts have contended for sometime that the economic center of the world is In a world moving towards an improved economic, the Philippines is considered a friend to all and anshifting towards this region. Our experts went one political and social order through openness, equality enemy to none. Additionally, in an effort to reachstep further, describing Asia Pacific as “the most and shared wealth, the Philippines is poised to economic growth targets and address the challengespromising and dynamic region that the world take on both a regional and global leadership role. facing its citizens, the government has bolsteredhas to offer.” Through strong partnerships with other powerhouse social sector spending and approved public-private countries and policies rooted in the principles of partnerships to build much needed infrastructure. democracy, human rights and good governance, VIETNAM (69) The number fifteen country brand in the Future 15, labor and an economy positioned for diversification, Vietnam is widely recognized for its cultural capital, Vietnam’s continued economic growth is imminent. entrepreneurial spirit and educated workforce. A That said, achieving goals of sustainable growth and rising star in the region, Vietnam shows signs of a prominent international role depends on how the its potential as a leading source of manufactured country addresses key issues—from its illicit drug goods in Southeast Asia. With cheap, abundant trade to high poverty rates.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 65
  • T H E R EG I O N R EP O R T * Shown in alphabetical orderCountry Brands PAKISTAN (117)in a State Located at the crossroads of the strategically important regions of South Asia, Central Asia and among Pakistan’s people, while an often- radical government has proven resistant toof Decline Western Asia, Pakistan is home to several ancient outside ideas. Declared a nuclear weapons cultures. But, its history has also been characterized state, Pakistan is predicted to soon have the by periods of military rule, political instability and fifth largest nuclear arsenal in the world— conflicts with neighboring countries. Poverty, a development that adds tension to its violence and human rights shortcomings have lent relationship with the international community. themselves to debilitating levels of ethnic conflictStrong country brands come in many shapes andsizes, but they share positive associations in a fewkey areas: a reliable legal framework that protectscitizens and businesses; a corruption-free body PARAGUAY (104)to enforce that framework; a political structurethat permits and encourages public participation; Like its fellow declining country brands, Paraguay parliamentary coup and an attack on constitutionaland a reliable, transparent government devoted to is plagued by corruption, an unstable government government across the continent. Since beingadvocating what’s best for its people. and a fragile infrastructure. In 2012, Paraguay’s suspended from the regional trade bloc, Paraguay senate swiftly voted to impeach left-wing President has faced ongoing reputational challenges aroundNo matter its resources, capital or power, a Fernando Lugo. The event caused widespread the world. Government stabilization and thecountry’s brand is often understood and judged concern and unrest, with other Latin American development of basic infrastructure would helpbased on these foundational underpinnings. governments quick to denounce the move as a slow decline for both the country and its brand.The following are examples of country brandsstruggling to overcome their perceptual barriers. RUSSIA (83) Russia is a country with a rich history and many impeded its overall transformation. With excessive assets—including abundant natural resources, an bureaucracy, a desire for centralized control and educated workforce, high levels of investment and antiquated Soviet structures, Russia is failing to keep a truly global financial market. At the same time, up domestically and abroad—and lacks the key Russia’s elite-controlled political power, corruption, foundational elements it needs to transform into a censorship and underdeveloped legal system have modern powerhouse.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 66
  • T H E R EG I O N R EP O R T * Shown in alphabetical orderCountry Brands SYRIA (111)in a State Once celebrated for its archeological riches, vibrant historical sites and hospitable culture, Syria fell into people killed. Despite any divided opinion on how to handle the worsening crisis, the internationalof Decline total free fall 18 months ago when citizens began consensus remains that the violence must end protesting their oppressive government. Despite with Bashar al-Assad removed from power. mounting international pressure, President Bashar Unfortunately, even if this happens in the near al-Assad has unapologetically used brutal force in future, it will take at least a decade to rebuild both response to growing unrest and rebel activity in the country and its reputation. the country, with authorities reporting over 17,000 UZBEKISTAN In the face of ongoing criticism from the limited civil rights. And while there is technically international community, Uzbekistan’s policies on a Uzbek president, the governance model human rights and individual freedoms are cited as resembles more of a dictatorship—with President worst practice examples in the world. Widespread Islam Karimov winning every election held, reporting of the torture and mistreatment of and opposition parties banned from running for detainees, arbitrary arrests and the prevalence office. The result? An environment where citizens of forced labor—especially during cotton harvest are neither protected nor free to live their lives season—have led to human rights watchdog groups as they choose. to define the country as an authoritarian state withCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 67
  • Alexander CooleyDepartment Chair andProfessor of Political ScienceBarnard College,Columbia University:“As countries grow and define themselves—as they become more in tune to the notions of status and prestige—they’re going to want to have metrics to demonstrate these strides.”Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 68
  • The Dimensionsof a CountryBrandThe Association Dimensions 70Value System 71Quality of Life 75Good for Business 79Heritage and Culture 83Tourism 87Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 69
  • T H E D I M EN S I O N S O F A CO U N T RY B R A N DThe Association DimensionsA country’s brand is closely tied to the HIERARCHICALfull spectrum of factors that impact DECISION MODEL (HDM) ASSOCIATION DIMENSIONSan individuals’ decision to choose one FutureBrands proprietary model for determining how key audiences perceive a countrys brand. The basic elements of a country brands strength as we know it today.country over another—from values and VALUE QUALITY GOOD FOR HERITAGE TOURISMquality of life, to economy and culture. AWARENESS Do key audiences know that the country exists? SYSTEM OF LIFE BUSINESS & CULTUREThe world’s strongest country brands How top-of-mind is it? Political Freedom Education System Investment Climate History Value for Moneyare multifaceted and perform well across FAMILIARITY Environmental Healthcare Advanced Art and Attractions How well do people know the country and Friendliness System Technology Cultureseveral dimensions, while the world’s its offerings? Stable Legal Standard Regulatory Authenticity Resort andweakest country brands do not have ASSOCIATIONS Environment of Living Environment Lodging Options Tolerance Safety Skilled Natural Beauty Foodrecognizable profiles in any dimension. What qualities come to mind when people think of the country? WorkforceThe following pages take a deeper dive Freedom of Speech Job Opportunity PREFERENCEinto the five key dimensions that comprise How highly do audiences esteem the country? Most Like to Does it resonate? Live Ina country brand: Value System, Qualityof Life, Good for Business, Heritage and CONSIDERATION Is the country considered for a visit? What about for investment or to acquire orCulture and Tourism. consume its products? HUMAN CAPITAL SUSTAINABILITY DECISION/VISITATION GOVERNANCE To what extend do people follow through INVESTMENT INFLUENCE and visit the country or establish a GROWTH commercial relationship? ADVOCACY Do visitors recommend the country to family, friends and colleagues? FUTURE DRIVERS The core elements that impact a country brands strength in the future.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 70
  • T H E D I M EN S I O N S O F A CO U N T RY B R A N DValue SystemA country’s values are the foundation for itssuccess and a fundamental component ofbrand strength. When a country is recognizedas a place where people are free to live openly,where the rule of law is respected and upheld,where businesses can thrive and institutionsare trusted, its brand is positioned to growand prosper. As values that are essential tomodern society and crucial in the developmentof credible country brands, the 2012-13 CBIranking for Value System includes PoliticalFreedom, Environmental Friendliness,Stable Legal Environment, Tolerance andFreedom of Speech.As would be expected, our top overall brandsare often well represented in the Value Systemdimension. But this year, a new—thoughperhaps unsurprising—leader reigns. Switzerlandjumped six places to number one, overtakingSweden to be the country brand with the mostpositive perceptions globally around ValueSystem. A peaceful, neutral, stable and freecountry with a strong focus on environmentalsustainability, Switzerland is perceived asthe strongest-performing brand for PoliticalFreedom, Environmental Friendliness and Stable The Federal Palace of Switzerland in Bern is among the most iconicLegal Environment. Brand Scandinavia also symbols of legal stability in a country renown for its rule of law.demonstrates strengths in each measure of thisCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 71
  • T H E D I M EN S I O N S O F A CO U N T RY B R A N D value system VALUE SYSTEM TOP 25 overall 1 Switzerland (+6) rank 1 2 SWEDEN (-1) 4 3 DENMARK (-1) 12 4 NETHERLANDS (+4) 18 5 FINLAND (-2) 9dimension, proving to be a collection of countries indicator that the Chinese people are becomingthat uphold the rule of law, protect civil rights more concerned with the heavy ecological 6 CANADA (-1) 2and prioritize sustainability. And by collectively cost of their economic development. As such, 7 NORWAY (-3) 10committing to be carbon free by 2050, the China made significant gains in the areas ofScandinavian nations will continue to dominate Environmental Friendliness, Political Freedom, 8 NEW ZEALAND (-2) 5in this arena. Tolerance and Freedom of Speech. 9 GERMANY (+3) 7A country’s stability plays a huge role in its brand The weakest performing country brands in 10 AUSTRALIA 6strength, often because it indicates healthy the Value System dimension share similar 11 united kingdom (+2) 11markets that are secure enough to draw obstacles, including political corruption, violence,investment. For our top-performing Value System restricted civil liberties, economic volatility, 12 AUSTRIA (-1) 17brands, that is certainly the case. With the poor infrastructure and this year, violent social 13 JAPAN (+3) 3exception of Spain, Italy and Portugal, all of the conflicts. The weakest country brands in thistop twenty five brands in this dimension rank well dimension include Pakistan, Afghanistan, Iran, 14 UNITED STATES 8in the area of Safety. Syria and Morocco. 15 ICELAND (-6) 22By contrast, Colombia is one of the dimension’s The Arab Spring played a significant role in this 16 france (+1) 13rising stars. Despite an illicit drug trade and internal dimension last year, with a number of Middle 17 singapore (+2) 14security issues stunting the nation’s progress, Eastern and North African nations seeing declines.Colombia’s booming economy and stabilizing While Bahrain, Oman, Lebanon and Libya have 18 belgium (-3) 31government have helped the country jump an made gains in global perceptions of their value 19 estonia (+15) 56impressive twenty one places in the dimension systems this year, Syria remains in a state of crisisoverall, twenty eight for Freedom of Speech, and and conflict, falling another eight places to one 20 malta (+6) 38twenty four for Stable Legal Environment. hundred and fifteenth overall. 21 spain (-1) 19While China has traditionally underperformed in 22 bermuda (-1) 24this measure, its strong economic performance 23 italy (-1) 15and ability to attract investment have helpedimprove perceptions in the Value System 24 mauritius (+4) 20dimension. Improving thirty three places, the 25 portugal (-2) 32country is now ranked sixty-sixth overall—an * Data in parentheses depicts movement from last yearCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 72
  • T H E D I M EN S I O N S O F A CO U N T RY B R A N D value system Environmental Freedom Political Friendliness of Speech Freedom dimension overall dimension overall dimension overall rank rank rank rank rank rank 1 Switzerland 1 1 Sweden 4 1 Switzerland 1 2 Finland 9 2 Netherlands 18 2 Netherlands 18 3 Norway 10 3 Denmark 12 3 Germany 7 4 Sweden 4 4 Switzerland 1 4 Sweden 4 5 Denmark 12 5 New Zealand 5 5 Canada 2 6 Canada 2 6 Canada 2 6 Denmark 12 7 Japan 3 7 Germany 7 7 New Zealand 5 8 New Zealand 5 8 Norway 10 8 United Kingdom 11 9 Germany 7 9 United States 8 9 United States 8 10 Netherlands 18 10 Finland 9 10 Norway 10 1 1 Australia 6 1 1 United Kingdom 11 1 1 Finland 9 1 2 Iceland 22 1 2 Iceland 22 1 2 Australia 6 1 3 Singapore 14 1 3 Australia 6 1 3 France 13 14 Austria 17 14 Austria 17 14 Austria 17 1 5 Mauritius 20 1 5 France 13 1 5 Malta 38Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 73
  • T h e D imen s ion s o f a country br a nd value system Stable Legal Tolerance Environment dimension overall dimension overall rank rank rank rank 1 Switzerland 1 1 Netherlands 18 2 Sweden 4 2 Sweden 4 3 Denmark 12 3 Finland 9 4 Finland 9 4 Denmark 12 5 Norway 10 5 Canada 2 6 Germany 7 6 Norway 10 7 Canada 2 7 New Zealand 5 8 Netherlands 18 8 Switzerland 1 9 New Zealand 5 9 Australia 6 10 United Kingdom 11 10 Japan 3 1 1 Australia 6 1 1 Iceland 22 1 2 Austria 17 1 2 Germany 7 1 3 Singapore 14 1 3 United Kingdom 11 14 United States 8 14 Austria 17 1 5 Japan 3 1 5 France 13Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 74
  • T H E D I M EN S I O N S O F A CO U N T RY B R A N DQuality of LifeQuality of Life represents a country’s capacityto offer gainful employment, affordableand comfortable housing, an accessible andcompetitive education, sufficient healthcareand security to its citizens and residents.Intrinsically linked to Value System, thisdimension is about cultivating an environmentthat positions a country’s people to thrive.Evaluating a broad array of attributes, the2012-13 CBI ranking for Quality of Lifeincludes Healthcare System, EducationSystem, Standard of Living, Safety, JobOpportunity and Most Like to Live In.European countries dominate the Quality of Lifedimension this year, with fifteen out of our toptwenty five calling the region home. In anothershow of its growing global relevance, Switzerlandovertook Sweden this year, topping the dimensionas well as three of its constituent attributes: MostLike to Live In, Safety and Standard of Living.Despite cultivating less than stellar perceptionsin governance, security and civil liberties, theUnited Arab Emirates, Saudi Arabia and Bahrain Transportation and infrastrucutre, such as this Swiss trainperformed well for Education System, Healthcare crossing the Alps—are critical components in perceivedSystem and Job Opportunity—continuing an Quality of Life.upward trend in the dimension overall.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 75
  • T H E D I M EN S I O N S O F A CO U N T RY B R A N D quality of life Quality of life Top 25 overall 1 Switzerland (+1) rank 1 2 DENmark (+3) 12 3 canada (+3) 2 4 Sweden (-3) 4Demonstrating the intrinsic link between a The majority of brands with declining scores in 5 germany (+4) 7country’s economic opportunity and the overall Quality of Life are Eastern European nations, with 6 finland (-2) 9quality of life it offers residents, the biggest leaps Albania, the Czech Republic, Romania, Serbia andin this dimension came from countries with Greece suffering falls between twenty six and 7 norway (-4) 10emerging markets. Estonia, for example, moved forty five places in the dimension. Public spending 8 japan (-1) 3eleven places in the dimension following a new cuts paired with slow progress on pensions,focus on public health in the face of widespread healthcare, wages and unemployment have left 9 new zealand (+3) 5austerity measures affecting much of Europe. many citizens without vital services that contribute 10 australia (-2) 6Malaysia is another emerging market benefitting to overall quality of life.from an investment in education and low-cost 11 singapore 14housing. In line with its ambitions to achieve a Safety and predictability are important parts of the 12 austria (-2) 17high-income developed nation status by 2020, Quality of Life dimension. Negative perceptionsMalaysia is making important gains in improving around terrorism, war, crime and public health 13 netherlands (+2) 18quality of life for its citizens and residents. tend to have significant effects on this and other 14 united kingdom (-1) 11 dimensions. Syria, for instance, is in the midst ofQuality of Life and Value System are also linked, as a violent civil war and is currently considered the 15 united states (-1) 8seen with China’s new focus on sustainability and least safe country in the world. Its scores in the 16 france (+2) 13resulting jump in quality of life for its citizens. As Value System and Quality of Life dimensions haveChina’s economy grows and more people move fallen significantly. 17 united arab emirates (+2) 23from rural to urban environments, the country has 18 iceland (-1) 22an opportunity to rethink how cities are designed. Overall, the weakest performing brands inGovernment-led initiatives to create sustainable the Quality of Life dimension are Pakistan, 19 belgium (-3) 31cities have already produced jobs and a better way Afghanistan, Syria, Vietnam and Cambodia. 20 estonia (+11) 56of life, from improved public transport to betterwater treatment rates. Moving thirteen places 21 italy 15ahead for the Quality of Life dimension overall, 22 saudi arabia (+3) 60China also saw noticeable gains in perceptions ofits Healthcare System, Education System, Standard 23 mauritius (+12) 20of Living, Safety and Most Like to Live In. 24 oman (+13) 55 25 spain (-5) 19 * Data in parentheses depicts movement from last year * Data in parentheses depicts movement from last yearCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 76
  • T H E D I M EN S I O N S O F A CO U N T RY B R A N D quality of life Education Healthcare Job System System Opportunity dimension overall dimension overall dimension overall rank rank rank rank rank rank 1 Sweden 4 1 Sweden 4 1 Germany 7 2 Switzerland 1 2 Switzerland 1 2 Canada 2 3 Denmark 12 3 Denmark 12 3 Denmark 12 4 Finland 9 4 Canada 2 4 United Arab Emirates 23 5 Germany 7 5 Finland 9 5 Switzerland 1 6 Norway 10 6 Norway 10 6 Australia 6 7 Canada 2 7 Germany 7 7 United States 8 8 Japan 3 8 Japan 3 8 United Kingdom 11 9 Singapore 14 9 Australia 6 9 Austria 17 10 United Kingdom 11 10 New Zealand 5 10 Singapore 14 1 1 France 13 1 1 United Kingdom 11 1 1 New Zealand 5 1 2 New Zealand 5 1 2 France 13 1 2 Finland 9 1 3 Netherlands 18 1 3 Netherlands 18 1 3 Oman 55 14 United States 8 14 Singapore 14 14 Sweden 4 1 5 Australia 6 1 5 Austria 17 1 5 Qatar 72Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 77
  • T h e D imen s ion s o f a country br a nd Q uality of life Safety Most Like Standard to Live in of Living dimension overall dimension overall dimension overall rank rank rank rank rank rank 1 Switzerland 1 1 Switzerland 1 1 Switzerland 1 2 Sweden 4 2 Canada 2 2 Sweden 4 3 Finland 9 3 Australia 6 3 Denmark 12 4 Denmark 12 4 New Zealand 5 4 Canada 2 5 Canada 2 5 Denmark 12 5 Germany 7 6 Norway 10 6 Finland 9 6 Finland 9 7 Singapore 14 7 Norway 10 7 Japan 3 8 New Zealand 5 8 Germany 7 8 Norway 10 9 Germany 7 9 Sweden 4 9 Netherlands 18 10 Japan 3 10 Singapore 14 10 Australia 6 1 1 Netherlands 18 1 1 Austria 17 1 1 Singapore 14 1 2 Austria 17 1 2 Mauritius 20 1 2 New Zealand 5 1 3 Iceland 22 1 3 United States 8 1 3 United Arab Emirates 23 14 Australia 6 14 Japan 3 14 Austria 17 1 5 United Kingdom 11 1 5 France 13 1 5 United States 8Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 78
  • T H E D I M EN S I O N S O F A CO U N T RY B R A N DGood ForBusinessGood for Business evaluates a country’sability to offer a robust and attractive businessenvironment to both citizens and internationalinvestors alike. As with Quality of Life, thisis a dimension deeply tied to Value Systembecause where the rule of law is upheldand a sense of security and predictability ismaintained, confidence in financial marketsincreases and brands perform at their best.The CBI measures for Good for Businessinclude Regulatory Environment, Skilled Perhaps because of its economic sovereignty, SwitzerlandWorkforce, Advanced Technology and and its Swiss Franc are performing well in the Good for Business dimension.Investment Climate.Countries encourage investment through stable country brand for Investment Climate Cyprus—both impacted by the Eurozone crisis—governance, and by offering access to large and Regulatory Environment, while Germany suffered some of the sharpest declines in lastconsumer markets, good regulatory structures is perceived as the strongest brand for year’s Good for Business measure. This year,and competitive advantage in the supply chain. Skilled Workforce. surprisingly enough, countries like Spain, ItalyWhile the majority of this year’s leading Good and the UK haven’t felt the impact of this crisis asfor Business brands may not have the strongest The movement of people, goods and sharply as Romania, down forty places; the Czecheconomies, they’re all considered safe, secure resources across boundaries has made us all Republic, down thirty two; Bulgaria, down twentyenvironments for investment. Switzerland and interdependent: countries are part of delicate five; Slovenia, down twenty; and Hungary, downGermany are considered safe havens in an economic ecosystems. Nowhere is this more fourteen. These nations have suffered particularongoing European economic crisis, and as apparent than in Europe, where rising sovereign declines for Investment Climate and Skilledsuch, are the strongest performing brands in the debt levels in Eurozone countries have manifested Workforce, suggesting that perceptions arounddimension. Demonstrating stamina in a fiscally in struggling markets, a wave of downgrades private sector innovation and entrepreneurshipuncertain world, Switzerland is the number one and an overall economic crisis. Greece and are lagging.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 79
  • T H E D I M EN S I O N S O F A CO U N T RY B R A N D good for business Good for business Top 25 overall 1 Switzerland rank 1 2 GERmany (+1) 7 3 japan (+1) 3 4 Singapore (+4) 14 5 sweden (-3) 4Alternately, countries that haven’t consolidated Underscoring the connection between Qualityunder a single currency—like the UAE and of Life and Good for Business, the economic 6 denmark 12Singapore—have been able to set up free trade possibilities of a young and educated population 7 canada (+3) 2unions that maintain their sovereignty while can certainly help cultivate an attractive businesshelping them grow. This has had positive effects climate. For that very reason, Oman, up thirty five 8 united states (-1) 8on their Good for Business placement, with all places; Bahrain, up eighteen places; and Lebanon, 9 finland (-4) 9three nations rising up the ranks, particularly for up twelve places, have all started to stabilizethe Regulatory Environment attribute. following dramatic falls in the dimension last year. 10 norway (-1) 10 11 united kingdom (+2) 11In any country, a growing middle class means Countries all over the world are showingmore market opportunities, economic diversity, weakening perceptions of this dimension, be it 12 netherlands (+2) 18publicly funded projects and social cohesion. For because of political instability, security concerns, 13 united arab emirates (+7) 23that reason, Estonia’s emerging market has seen economic turmoil or high-levels of state control.improvements in every attribute of the Good for Notable declines in the dimension include Sudan, 14 australia (-3) 6Business dimension this year, climbing five places Nigeria, the Congo, Egypt and Iran. And overall, 15 austria (-3) 17overall. China and Malaysia also improved ten the weakest-performing country brands for Goodplaces each, now ranked thirty-first and twenty- for Business are Pakistan, Afghanistan, Syria, 16 france 13ninth respectively. African nations Tanzania, Vietnam and Cambodia. 17 new zealand (+1) 5Senegal, Zimbabwe, Namibia and Uganda are alsoamong the biggest rising stars in the dimension. 18 israel (-3) 27While a burgeoning middle class in Africa may be 19 belgium (-2) 31debatable among experts, many acknowledgethat the region is an untapped market. Home 20 iceland (-1) 22to more than a billion people, Africa is getting 21 estonia (+5) 56attention from top businesses and brands eagerto expand. 22 bermuda (+9) 24 23 italy 15 24 spain (+1) 19 25 ireland (-3) 21 * Data in parentheses depicts movement from last yearCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 80
  • T h e D imen s ion s o f a country br a nd G ood for business Advanced Investment Regulatory Technology Climate Environment dimension overall dimension overall dimension overall rank rank rank rank rank rank 1 Japan 3 1 Switzerland 1 1 Switzerland 1 2 United States 8 2 Singapore 14 2 Denmark 12 3 Germany 7 3 Germany 7 3 Norway 10 4 Sweden 4 4 Japan 3 4 Canada 2 5 Switzerland 1 5 Canada 2 5 Sweden 4 6 Singapore 14 6 United Arab Emirates 23 6 Germany 7 7 United Arab Emirates 23 7 United States 8 7 Singapore 14 8 Canada 2 8 Australia 6 8 Japan 3 9 Netherlands 18 9 Austria 17 9 Finland 9 10 United Kingdom 11 10 Denmark 12 10 Netherlands 18 1 1 Finland 9 1 1 Finland 9 1 1 New Zealand 5 1 2 Denmark 12 1 2 Sweden 4 1 2 United Kingdom 11 1 3 Israel 27 1 3 Saudi Arabia 60 1 3 Austria 17 14 France 13 14 France 13 14 Australia 6 1 5 Norway 10 1 5 Norway 10 1 5 United States 8Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 81
  • T h e D imen s ion s o f a country br a nd G ood for business Skilled Workforce dimension overall rank rank 1 Germany 7 2 Japan 3 3 Denmark 12 4 Sweden 4 5 Switzerland 1 6 Finland 9 7 Canada 2 8 Singapore 14 9 Norway 10 10 United States 8 1 1 United Kingdom 11 1 2 Australia 6 1 3 Austria 17 14 Netherlands 18 1 5 France 13Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 82
  • T H E D I M EN S I O N S O F A CO U N T RY B R A N DHeritage andCultureFrom history and language to art and culturalattractions, Heritage and Culture is theculmination and expression of a country’s ownunique cultural assets. Intrinsically linked toTourism , the Heritage and Culture dimensionreflect a country’s commitment to responsibleinfrastructure projects that support travel andtourism, while protecting the legacy on whichtheir societies and way of life have been built.The 2012-13 CBI ranking for Heritage andCulture includes History, Art and Culture,Authenticity and Natural Beauty.Heritage and Culture celebrates strong brandsfrom around the world. From Europe’s iconicdestinations, to Asia’s authentic beauty, tothe beaches of Oceania, to the history of theMiddle East, this is a dimension that knowsno boundaries.Italy and France have traditionally performed wellin this dimension, and continue to hold strong atnumber one and two respectively. Switzerlandand the United Kingdom have each moved seven The Roman Forum in Italy is one of Europe’s most prizedplaces ahead, and the latter has proven to be a cultural landmarks.strong contender across the dimension overall.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 83
  • T H E D I M EN S I O N S O F A CO U N T RY B R A N D heritage and culture Heritage and culture Top 25 overall 1 italy rank 15 2 france 13 3 japan (+3) 3 4 switzerland (+7) 1 5 united kingdom (+7) 11After the year’s festivities, it appears the London While, the weakest-performing country brands2012 Games helped communicate a compelling for Heritage and Culture are Afghanistan, Somalia, 6 peru (-2) 40story around the UK’s ambitions and what it the Philippines, Qatar and Albania, every country 7 germany (+11) 7means to live in modern Britain. in the world—including these—has its own unique heritage and culture to express. The challenge 8 israel (-5) 27Promoting a country’s heritage often falls to both is turning real assets into perceived strengths 9 egypt (-1) 58public and private entities, including the influence through clear and consistent communications.of iconic brands that operate across borders As such, Heritage and Culture is the dimension 10 canada (+15) 2and draw from well-defined and established in CBI where every country has an opportunity 11 spain (-4) 19associations. Despite a record of underperforming to change.in the dimension, it is interesting to note that 12 sweden (+1) 4Canada and Australia have made important gains 13 austria (-4) 17this year—signaling an opportunity to betterleverage assets both countries possess but were 14 new zealand (+1) 5not previously recognized for. 15 norway (+1) 10Continuing a two-year upward trend in Heritage 16 finland (+8) 9and Culture, a number of Eastern European 17 ireland (-3) 21countries have been climbing the rankings.With more Russian travelers to the region, a 18 greece (-13) 39general shift in focus from West to East and 19 turkey (+7) 45co-hosting the UEFA Euro 2012 Cup, Ukrainejumped nineteen places to sixty four. Additionally, 20 australia (+8) 6Estonia advanced ten places to forty seven in the 21 netherlands (+34) 18dimension overall. 22 denmark (+5) 12 23 nepal (-6) 70 24 mauritius (+18) 20 25 morocco (+9) 61 * Data in parentheses depicts movement from last yearCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 84
  • T h e D imen s ion s o f a country br a nd heritage and culture Art and Authenticity History Culture dimension overall dimension overall dimension overall rank rank rank rank rank rank 1 Italy 15 1 Japan 3 1 Italy 15 2 France 13 2 Norway 10 2 Egypt 58 3 Japan 3 3 Switzerland 1 3 Israel 27 4 Spain 19 4 Sweden 4 4 France 13 5 United Kingdom 11 5 New Zealand 5 5 United Kingdom 11 6 Germany 7 6 Finland 9 6 Greece 39 7 Egypt 58 7 Germany 7 7 Germany 7 8 Peru 40 8 Israel 27 8 Japan 3 9 Israel 27 9 Fiji 35 9 Peru 40 10 Switzerland 1 10 Maldives 16 10 Turkey 45 1 1 Greece 39 1 1 Iceland 22 1 1 Spain 19 1 2 Austria 17 1 2 Canada 2 1 2 Austria 17 1 3 Netherlands 18 1 3 Australia 6 1 3 Ireland 21 14 Sweden 4 14 Peru 40 14 China 66 1 5 Canada 2 1 5 France 13 1 5 Cambodia 87Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 85
  • T h e D imen s ion s o f a country br a nd heritage and culture Natural Beauty dimension overall rank rank 1 Switzerland 1 2 Mauritius 20 3 Finland 9 4 Maldives 16 5 New Zealand 5 6 Canada 2 7 Sweden 4 8 Norway 10 9 Australia 6 10 Fiji 35 1 1 Italy 15 1 2 Bermuda 24 1 3 Austria 17 14 Iceland 22 1 5 Dominican Republic 53Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 86
  • T H E D I M EN S I O N S O F A CO U N T RY B R A N DTourismTourism is a global industry that plays animportant, vital role for countries large andsmall. Potentially bringing income on goodsand services and GDP growth in general,the industry can help bolster job creationand drive innovation across a variety ofbusinesses. Closely linked to the Heritage andCulture dimension, the 2012-13 CBI measuresfor Tourism include Resort and LodgingOptions, Food, Attractions, Value for Money,Beaches, Nightlife and Shopping.While Italy has fallen out of CBI’s top ten overallranking for the first time this year, the countrybrand remains a quintessential Europeandestination—and indeed ranks first in Tourism.From Milan and Rome to Florence and Sicily,Italy is a country celebrated the world over forits Heritage and Culture, a dimension that isintrinsically linked to its assets as a premium touristdestination. Still perceived as the strongest brandfor Food, Italy is also the number three brandfor Attractions and the number fifteen brand forResort and Lodging Options.Japan has managed to maintain its reputation The Grand Canal in Venice is a major draw in Italy’s well-as a world-class brand, especially for Tourism, performing tourism industry.perceived as the second strongest brand in theCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 87
  • T H E D I M EN S I O N S O F A CO U N T RY B R A N D tourism TOURISM Top 25 overall 1 ITALY (+1) rank 15 2 JAPAN (-1) 3 3 FRANCE (+2) 13 4 switzerland (+2) 1 5 united states (-1) 8dimension overall, the strongest brand in the Value for Money improved for both countries,world for Attractions, third strongest for Food Consideration among our experts has declined for 6 canada (+7) 2and sixth for Value for Money. Despite 2011’s both. Australia remains the number one country 7 germany (+5) 7devastating natural disaster, nuclear emergency brand in the world for Advocacy, however,and economic fallout, brand Japan has generated indicating that the brand continues to deliver on 8 thailand (-1) 26enough goodwill over the past decades to and exceed expectations for business and leisure 9 mauritius (+2) 20perform well in this category indefinitely. travelers alike. 10 australia (-2) 6Cultural assets are major drivers of tourism. From Bahamas’ pink sand beaches, to Germany’s 11 new zealand (-2) 5Its no surprise then that fifteen out of the top urban nightlife, to Canada’s world-class skitwenty countries in Attractions also appear in resorts, a diverse group of countries shine for the 12 united arab emirates (+13) 23the top twenty for Heritage and Culture. We see Resort and Lodging Options attribute this year. 13 austria (+4) 17this especially in countries like Fiji, Mauritius, Despite this variety, a demand for luxury brandsthe Bahamas and Bermuda, which have all and experiences remains a consistent driver, with 14 sweden (+1) 4experienced sharp improvements in the Mauritius, Switzerland, the Maldives, Fiji and the 15 spain (-12) 19Heritage and Culture dimension overall, as UAE leading the pack.well as within Tourism. 16 malaysia (+5) 36 As for the other dimensions of CBI, weak 17 fiji (+23) 35Other important drivers in this dimension are perceptions around safety can have a negativeaffordability and stable exchange rates. As such, and very real effect on a traveler’s willingness 18 singapore 14countries that consistently perform well for Value to visit. We see this in countries like Guatemala, 19 united kingdom (+11) 11for Money–like Thailand, Malaysia, the US and Vietnam, the Philippines and Kenya—all rankedJapan—are also consistently high ranking in the above one hundred—that, despite having major 20 maldives (-10) 16dimension overall. Perceived as safe havens in the attractions to their credit, fail to perform well in 21 norway (+6) 10face of the Eurozone crisis, Germany, Switzerland the dimension overall. Exceptions include Egypt,and Sweden have also made significant gains for Jamaica and Indonesia—also nations that rank 22 bahamas (+35) 37the Value for Money attribute. one hundred and above for Safety but perform 23 denmark (+10) 12 relatively well in Tourism.Despite major investments in tourism, both 24 bermuda (+26) 24brand Australia and New Zealand fell two places The weakest performing country brands for 25 turkey (-5) 45in the dimension, consequently knocking New Tourism include Afghanistan, Pakistan, Somalia, * Data in parentheses depicts movement from last yearZealand out of the top ten for the first time Iran and Libya.since CBI’s inception. While perceptions aroundCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 88
  • T h e D imen s ion s o f a country br a nd tourism Value for Attractions Resort and Money Lodging Options dimension overall dimension overall dimension overall rank rank rank rank rank rank 1 Thailand 26 1 Japan 3 1 Mauritius 20 2 Malaysia 36 2 United States 8 2 Switzerland 1 3 Germany 7 3 Italy 15 3 Maldives 16 4 Canada 2 4 France 13 4 Fiji 35 5 United States 8 5 Switzerland 1 5 United Arab Emirates 23 6 Japan 3 6 Canada 2 6 Dominican Republic 53 7 Australia 6 7 United Kingdom 11 7 Australia 6 8 New Zealand 5 8 New Zealand 5 8 United States 8 9 Fiji 35 9 Egypt 58 9 Bahamas 37 10 Switzerland 1 10 Australia 6 10 Canada 2 1 1 United Arab Emirates 23 1 1 Fiji 35 1 1 Germany 7 1 2 Belize 46 1 2 Germany 7 1 2 Sweden 4 1 3 Mauritius 20 1 3 United Arab Emirates 23 1 3 New Zealand 5 14 Costa Rica 25 14 Israel 27 14 France 13 1 5 Sweden 4 1 5 Spain 19 1 5 Italy 15Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 89
  • T h e D imen s ion s o f a country br a nd tourism Food Shopping Beach *Scores for this attribute did not contribute to overall rankings *Scores for this attribute did not contribute to overall rankings dimension overall dimension overall dimension overall rank rank rank rank rank rank 1 Italy 15 1 United States 8 1 Australia 6 2 France 13 2 France 13 2 Bahamas 37 3 Japan 3 3 Italy 15 3 Maldives 16 4 Singapore 14 4 United Kingdom 11 4 Brazil 28 5 Austria 17 5 Japan 3 5 United States 8 6 Spain 19 6 China 66 6 Fiji 35 7 Switzerland 1 7 Germany 7 7 Barbados 29 8 Germany 7 8 United Arab Emirates 23 8 Greece 39 9 Taiwan 50 9 Australia 6 9 Mauritius 20 10 Thailand 26 10 Singapore 14 10 Thailand 26 1 1 Canada 2 1 1 Thailand 26 1 1 Mexico 51 1 2 Sweden 4 1 2 Canada 2 1 2 Italy 15 1 3 Mauritius 20 1 3 South Korea 49 1 3 France 13 14 Estonia 56 14 India 42 14 Spain 19 1 5 Argentina 30 1 5 Spain 19 1 5 Turkey 45Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 90
  • T h e D imen s ion s o f a country br a nd tourism Nightlife *Scores for this attribute did not contribute to overall rankings dimension overall rank rank 1 United States 8 2 Brazil 28 3 France 13 4 United Kingdom 11 5 Australia 6 6 Spain 19 7 Germany 7 8 Italy 15 9 Thailand 26 10 Japan 3 1 1 Argentina 30 1 2 Canada 2 1 3 Netherlands 18 14 China 66 1 5 Singapore 14Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 91
  • Steve McDonaldDirectorWoodrow Wilson InternationalCenter for Scholars:“We already have a new world order. If you don’t already know that then you aren’t paying attention.”Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 92
  • Future ForwardIntroduction 94New World Order 95The ‘Made in…’ Movement 96Global Urbanization 97The New Consumer 98Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 93
  • F U T U R E FO RWA R DExactly how the world willchange is uncertain, butchange itself is a certainty.The increasing connectivity of the world and theredistribution of regional influence will give rise tonew players, new opportunities and new definitions ofsuccess. In this section, we’ve identified the big globalmovements currently underway and how these trendswill shape our future—from how we understand andnavigate the world, to where we decide to travel andlive, to how we do business and their trigger-effect onother areas of the world.Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 94
  • F U T U R E FO RWA R DNew World OrderKnown by many names, based on two important factors: global land symbolize a move in power away from the West.tomorrow’s emerging markets area—of which the BRIC nations occupy nearly a During a time when the EU—easily the most quarter—and population, of which they constitute iconic and formalized bloc of nations—facesmay help us understand the approximately 40 percent. These are clearly significant deciders, but they aren’t necessarily economic and political unrest, there’s a hunt on to identify the next source of global influence.world today. conclusive proof points in predicting the future of the global economy. Just as interestingly, many of these topicalIn recent years, much attention and countless countries are now attempting to capitalize onnaming conventions have been given to new, Case in point, Russia—a linchpin in the theory of their given acronyms by using them as marketingconveniently-connected country bundles. BRIC, BRIC. There’s no doubt that Russia is a wealthy tools and a source of identity. In some cases,N-11, MIKT, BRICS, MIST, CIVETS, EAGLE—not to nation rich in energy and raw materials. But the countries are reverse engineering their namesmention the G7, G8, G8+5, G20. The list goes on. country’s declining power hasn’t gone unnoticed. in an attempt to translate a loose grouping intoAnd in all probability, it will continue to grow. As one of our regional experts put it, “I would formal alliances and geopolitical clout. And of paint the future of this region red.” Faced with course, private-interest parties, specifically inBut that’s not to say these groupings aren’t a shrinking population, the widespread exodus investment, will also continue to benefit by co-problematic. Oftentimes, countries are bundled of its top talent, government corruption and opting these groupings as means to promotein ways that are by no means natural or even closed foreign policy, Russia’s economic their emerging market strategies.formalized. Organized around subjective potential is being significantly undercut.principles and popular political, economic or Additionally, we may be overestimating the How accurate and valid these predictivesocial associations, these groupings are often connection between BRIC nations. acronyms are remains to be seen, but the benefitsconceived by private-interest parties, such as of being coined as the next emerging powerGoldman Sachs. But there’s still something to be gleaned from the are undeniable. It’s a case of collective country current proliferation of country bundles. First and branding at its best.Take the BRIC countries as an example. It’s been foremost, while grouping nations together maypredicted that by 2050, Brazil, Russia, India and not help us predict every facet of that group’sChina will eclipse the combined economies of future, the act does represent an expected shift intoday’s richest nations. Those predictions are influence. Groupings (and their related acronyms) Background: The Red Square, Moscow, RussiaCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 95
  • F U T U R E FO RWA R DThe ‘Made in…’ MovementAs the global chain of Country of origin labels are nothing new. And yet, the ubiquity of the phrase “Made in…” has piqued affordable design—have defined the collective style and product identity of this region for theproduction grows, consumers our interest in recent years. world. So much so that the region is now treatedseek out items that recommend Part of that has to do with a growing interest as a brand unto itself: Brand Scandinavia.a sense of place. and awareness in the provenance of consumer Similarly, the “Made in USA” label has seen goods. Rising globalization and sharp increases a revival in popularity—and in many ways, in demand have forced countries to outsource undergone a rebranding of its own. Products jobs and manufacturing—thus creating a backlash linked to the United States cue heritage, response for all things local. Tied to our civic, durability and ruggedness, especially in apparel. social and environmental sense of responsibility, Companies like American Apparel are part of the movement to bring production back to our a wave of new product brands and retailers town, region or country is a powerful one. that refer to their US-origins directly—speaking perhaps to the country’s overall brand strength But “Made in…” labels have also become a status and sense of identity. badge. Where once the source of an item felt like an afterthought, today, it’s a sought-out and For those that follow country brands, this trend well-publicized quality. And what’s more, country signals a shift wherein a country brand, in its most labels have become shorthand for a type of style, literal form, shares equal billing with a product ingredient, process or entire industry, as with brand. Because products and their provenance Scandinavia and the United States. don’t just speak for themselves: they speak for a country in its entirety. Scandinavia conjures associations of modern, minimal and well-crafted furniture made with natural materials. Brands like IKEA—which has helped make Sweden synonymous with Background: Denim factory in Los Angeles, USACountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 96
  • F U T U R E FO RWA R DGlobal Urbanization“Countries are nothing without Cities are undeniably the nerve centers decentralized layouts and a focus on “Western,” their cities.” of a country. They’re home to economic market-driven values. Today, these cities are development, a major source of GDP and even suffering from their inefficient allocation of–Eric Goldwyn a country’s most significant cultural export. Warranted or not, to the outside world, a scarce resources.Urban Planner country’s cities act as symbols and ambassadors The city of tomorrow will place a much higherColumbia University to understand the entire country. premium on quality of life for its residents— prioritizing walkability, 24-hour access, Today, over 50% of the world’s population lives public spaces and inclusive transportation in cities. A mass migration from rural to urban networks. Cities leading this paradigm shift areas is projected to continue as emerging are predominantly non-Western and include nations industrialize and create more jobs in city Medellin, Colombia; Johannesburg, South Africa; centers. This kind of exponential growth issues Guangzhou, China; Hong Kong, China; Seoul, an important challenge: how to support and South Korea; Abu Dhabi, UAE; Zurich, Switzerland; sustain a rapidly increasing urban population and Copenhagen, Denmark. that consumes land, energy and food? The right infrastructure—sewers, schools, transportation Cities act as a true gateway to a nation, and networks, power plants, hospitals—is key to are integral in shaping national identity. The helping integrate rural migrants into the nation’s quality and impact of these emerging cities will economy, and make a city’s growth sustainable. determine how tourists, investors and global citizens judge the countries they call home—and We’re beginning to see cities respond to these the brands behind them. challenges by evolving their urban landscapes through innovative planning that spawns a new generation of leaders. The model cities of yesterday—Los Angeles, Chicago, Prague, Warsaw, Bucharest—feature auto-centric design, Background: São Paulo, BrazilCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 97
  • F U T U R E FO RWA R DThe New ConsumerAs the middle class grows, so changing composition of the middle class. Future is estimated to grow exponentially by 2020. Ado the industries and brands middle-class markets will be dominated by marked transition from export-led economies Asia, with four of the largest being India, China, to consumption-led economies does have itsthat serve it. Japan and Indonesia. This shifting dynamic calls for a reimagining of middle-class values and drawbacks; for example, the price of consumer goods and essentials, such as food, has being aspirations, making it necessary for companies to driven up drastically; the environmental impactIn the midst of economic development and appeal to a consumer audience spanning a wide of growing consumerism will be widespread andincreasing prosperity among emerging countries, range of cultures, ethnicities and value systems. lasting; and migration and urbanization patternsthe world is getting to know a growing middle will strain both public and private sectors.class—ultimately creating a sizable consumer Second, the approach to business and innovationbase that holds real purchasing power. in these areas will need to evolve—and quickly. The big question that remains to be answered? The old paradigm of proving goods in mature Just how to harness this new generationToday’s projections indicate that the world’s markets prior to export won’t be successful in of consumers.middle class could very soon comprise over emerging markets. Instead, these new customershalf of the global population. This impressive will demand priority access to innovations andgrowth will raise per capita income around products tailored to their specific needs.the world—even doubling in emerging In contrast to the past, where imported foreignmarkets—with a corresponding rise in potential goods were the sole option, domestic companiesconsumption spending. are holding their own in vying for their place in the global consumption boom. Some of the mostOn their own, four sectors—banking, consumer successful challengers include Baidu (vs. Google),goods, high tech and retail—have the potential to Lenovo (vs. Dell) and China Mobile (vs. T-Mobile).reach revenues of more than $100 billion each.What does this mean for companies looking Finally, the growing consumer class will haveto profit from the rise of global consumers? far-reaching implications across multipleIt means, most importantly, addressing the sectors—from tourism and housing to healthcare and luxury goods. Outbound tourism alone Background: Guangzhou, ChinaCountry Brand Index 2012–13 © FutureBrand, All Rights Reserved 98
  • Appendix Global Experts and Opinion Formers 100 Additional Contributors 101 Additional Sources 102 The 2012-13 Editorial Team 103 About FutureBrand 104 Contact 105 Full List Of Countries 106Country Brand Index 2012-13 © FutureBrand, All Rights Reserved 99
  • APP EN D I XGlobal Experts and Opinion FormersAlexander Cooley Hossein G. Askari Steve McDonaldDepartment Chair and Professor Iran Professor of International Business and DirectorDepartment of Political Science International Affairs Africa Program and Project on Leadership andBarnard College, Columbia University George Washington University Building State Capacity Woodrow Wilson International Center for ScholarsAmbassador Lino Gutierrez Kenneth P. GreenPresident Resident Scholar Thomas M. SandersonGutierrez Global, LLC American Enterprise Institute for Co-Director and Senior Fellow Public Policy Research Transnational Threats ProjectAmbassador Mark P. Lagon Center for Strategic and International StudiesProfessor in the Practice of International Affairs Kimberly Marten  Master of Science in Foreign Service Program Acting Director, Harriman Institute Tom VanderbiltGeorgetown University Professor, Department of Political Science Author and Journalist Barnard College, Columbia UniversityDavid King William E. PomeranzAssistant Professor of Urban Planning Matthew Rojansky Deputy DirectorColumbia University Deputy Director Kennan Institute Russia and Eurasia Program Woodrow Wilson International Center for ScholarsEdward M. Barrows Carnegie Endowment for International Peace  Professor of Biology Additional experts in Latin American affairs,Director of the Center for the Environment Rami G. Khouri Middle Eastern affairs and Urban Planning andGeorgetown University Director Transportation Systems Issam Fares Institute for Public Policy andEric Goldwyn International AffairsDoctoral Candidate in Urban Planning American University of BeirutColumbia University Robert CerveroFranz-Stefan Gady Professor, Department of City and Regional PlanningAssociate University of California, BerkeleyEastWest Institute  Sadanand DhumeGail Harris Resident FellowRetired Naval Captain and Author American Enterprise Institute forCyber Warfare Specialist Public Policy ResearchCountry Brand Index 2012-13 © FutureBrand, All Rights Reserved 100
  • APP EN D I XAdditional ContributorsAlbert Lam Drew Williams John Mora Williams Neira Guzmán Sean NichollsAsia Pacific Operations Manager Partner Partner and Executive Manager Director Managing DirectorParcel Pro Aragon Capital Pty, Ltd. theglobaldit Fundación Trekking Chile OctagonHong Kong Australia Spain Chile AustraliaAlfredo Babun Emanuele Sacerdote Jordi Busquets Perry Lam Silvia ScheriniGeneral Manager, Chile and Peru Managing Director Director Managing Director Senior Strategic PlannerAir Canada Cappellificio Cervo JJB Tourism Consulting Double Rise Development, Ltd. TBWAChile Italy Argentina Hong Kong ItalyAndrés Almeida Freddy Fernando José A. Franco Martínez Pietro Sorce Soledad AguadoEditorial Sub-Director Director General Director Client Services Director Editorial DirectorAméricaEconomía Intelligence Fundación Trekking Chile Desarrollo e Investigaciones Mosaicoon Huéspedes Magazine.Chile Chile Turísticas, SL Italy Argentina SpainAntony Strianese Giacomo Toscani Polo Guilbert-Wright Stefano AugelloDB&I Marketing Director Region CEO Justin Phua Public Affairs Counsel Strategy DirectorAsia, Africa and Australia YOBE Vice President Weber-Shandwick ElvisBarilla Italy Citigroup Australia SingaporeSingapore Hong Kong Giselle Della Mea Renee ChuBrian Wong CEO and Founder Luigi Rubinelli Strategy Manager, InstitutionalInvestment Analyst 3 Vectores and Innodriven Journalist and International BankingFidelity Uruguay RetailWatch ANZHong Kong Italy Hong Kong Giulia CerianiChester Hui President Mara Seminario Rossitza Ohridska-OlsonAssociate Baba Peru PresidentBerwin Leighton Paisner Italy Vizantia Enterprises, Inc.Hong Kong Morena Rossi USA and Bulgaria Ilaria Curti HR ManagerDavid Irvine In-Store Marketing Group S&S Sean HughesOperations Director Manager Italy Senior AdvisorLogiworx P&G Nuri GroupAustralia Italy SingaporeCountry Brand Index 2012-13 © FutureBrand, All Rights Reserved 101
  • APP EN D I XAdditional SourcesAl Jazeera Reporters Without BordersAllAfrica.com ReutersBalticbusinessnews State Department websiteBloomberg The BBCBusiness Week The EconomistCDC website The GuardianCIA World Factbook National GeographicCNN The New York TimesEconomic Times The Wall Street JournalFast Company The Washington PostFinancial Times UN World Happiness ReportForbes UNDP websiteForeign Policy USA TodayFreedom House website Voice of America NewsGulfBusiness website WHO websiteHuman Rights Watch WiredIMF website World Bank websiteMcKinsey Quarterly World Economic ForumMonocle www.EUBusiness.comMSNBC www.Iptv-news.comOECD websiteCountry Brand Index 2012-13 © FutureBrand, All Rights Reserved 102
  • APP EN D I XThe 2012-13 Editorial TeamStrategic DirectionChris NurkoTom AdamsDaniel RosentreterEditorial and Content DirectionVictoria BerryContent DevelopmentKate HamiltonPatrick AttenasioVeronique BergeronJillian GallagherResearch Direction andContent DevelopmentAnn SmithDesignDoug SellersMike WilliamsJuan Diego SotoBrendan ONeillProject ManagementSamantha EliotMarketingJack ArrowsmithCountry Brand Index 2012-13 © FutureBrand, All Rights Reserved 103
  • APP EN D I XAbout FutureBrandFutureBrand is a global brand consultancy built onan inimitable focus on innovation and the future.Spanning 17 offices, FutureBrand’s capabilitiescover everything a brand needs to stay aheadfrom measuring actual and potential brand value,to defining breakthrough brand strategies andcreating powerful brand designs.We have been pioneers in country and destinationbranding for more than a decade, working withAustralia, Argentina, Peru, Singapore, Mexico, SaintLucia, Dubai and Qatar, to name a few, as wellas shaping a number of country-branded exportproducts—including flag carrier airlines—andhelping to brand cities, regions and majornational corporations.Country Brand Index 2012-13 © FutureBrand, All Rights Reserved 104
  • APP EN D I XContactFor more information about the 2012-13 CBI, marketing seminars, FutureBrand’sservices or to purchase customized data, please contact:Europe, Middle East and Africa Latin AmericaJack Arrowsmith Gustavo KoniszczerBusiness Development and Marketing Manager Managing DirectorFutureBrand Worldwide FutureBrand Spanish Latin Americajarrowsmith@futurebrand.com gkoniszczer@futurebrand.comNorth America Asia PacificMindy Sabella Victoria BerryDirector of Business Development Senior StrategistFutureBrand North America FutureBrand Australiamsabella@futurebrand.com vberry@futurebrand.comCountry Brand Index 2012-13 © FutureBrand, All Rights Reserved 105
  • APP EN D I XFull List Of Countries rank rank rank rank rank rank rank rank rank 2012 Country 2011 2010 2012 Country 2011 2010 2012 Country 2011 2010 1 Switzerland 2 5 41 Croatia 40 49 81 Laos 80 88 2 Canada 1 1 42 India 29 23 82 Bosnia + Herzegovina NA NA 3 Japan 4 6 43 South Africa 35 31 83 Russia 82 81 4 Sweden 7 10 44 Czech Republic 38 43 84 Bahrain 94 80 5 New Zealand 3 3 45 Turkey 48 55 85 Colombia 89 85 6 Australia 5 2 46 Belize 49 46 86 Venezuela 84 77 7 Germany 11 11 47 Cyprus 46 45 87 Cambodia 83 90 8 United States 6 4 48 Namibia 37 36 88 Sierra Leone 86 94 9 Finland 8 8 49 South Korea 42 44 89 Mozambique 88 95 10 Norway 12 13 50 Taiwan NA NA 90 Senegal 104 103 11 United Kingdom 13 9 51 Mexico 47 48 91 Tunisia 98 83 12 Denmark 15 19 52 Uruguay 50 53 92 Bolivia 96 NA 13 France 9 7 53 Dominican Republic 55 38 93 Guatemala 81 86 14 Singapore 16 15 54 Trinidad & Tobago 54 52 94 Albania 73 61 15 Italy 10 12 55 Oman 58 57 95 Philippines 78 65 16 Maldives 18 16 56 Estonia 66 89 96 Honduras 90 NA 17 Austria 17 20 57 Cuba 56 50 97 Uganda 99 91 18 Netherlands 23 25 58 Egypt 57 58 98 Ukraine 105 99 19 Spain 14 14 59 Botswana 53 51 99 Ghana 91 78 20 Mauritius 22 21 60 Saudi Arabia 69 69 100 Romania 101 92 21 Ireland 20 17 61 Morocco 62 60 101 Algeria 85 100 22 Iceland 19 24 62 Jamaica 64 62 102 Ethiopia 95 96 23 United Arab Emirates 25 28 63 Slovenia 52 54 103 Sudan 93 101 24 Bermuda 21 18 64 Panama 67 67 104 Paraguay 106 NA 25 Costa Rica 24 27 65 Hungary 60 66 105 Nicaragua 100 98 26 Thailand 26 26 66 China 65 56 106 DR Congo 103 107 27 Israel 28 30 67 Sri Lanka NA NA 107 El Salvador 109 105 28 Brazil 31 41 68 Tanzania 68 73 108 Serbia 97 84 29 Barbados 36 32 69 Vietnam 59 63 109 Nigeria 108 106 30 Argentina 32 33 70 Nepal 61 59 110 Bangladesh 107 102 31 Belgium 33 34 71 Lebanon 63 71 111 Syria 92 87 32 Portugal 30 29 72 Qatar 72 70 112 Rwanda 102 93 33 St. Lucia 39 35 73 Slovakia 74 79 113 Zimbabwe 112 110 34 Chile 34 40 74 Kenya 77 68 114 Libya 110 104 35 Fiji 45 39 75 Poland 79 82 115 Iran 111 109 36 Malaysia 43 42 76 Jordan 71 75 116 Somalia NA NA 37 Bahamas 41 37 77 Ecuador 75 74 117 Pakistan 113 108 38 Malta 51 64 78 Indonesia 76 72 118 Afghanistan NA NA 39 Greece 27 22 79 Bulgaria 70 76 40 Peru 44 47 80 Cameroon 87 97Country Brand Index 2012–13 © FutureBrand, All Rights Reserved 106
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