The Effect of Internal Marketing Practices on Internal Brand Equity in the Ghanaian Pharmaceutical Industry

Abstract

Globalisation has led to a competitive market landscape where building robust brands through internal marketing is necessary for organisational success, especially in the pharmaceutical sector. Employees in the pharmaceutical sector emphasise internal brand equity, ensuring that employees’ values align with brand values. This helps brands maintain a consistent external image and gain a competitive edge. However, despite the importance of internal marketing in fostering brand alignment, there is limited research on the role of internal marketing practices in building internal brand equity in Ghana’s pharmaceutical industry. This study aims to address this gap. A quantitative explanatory design was employed, using a stratified and purposive sampling technique to select 423 employees from six pharmaceutical companies to answer an online questionnaire. Regression analysis was used to estimate the relationships between the constructs. The results indicated that brand vision, reward systems, and development programmes, which form internal marketing practices, have statistically significant impacts on internal brand equity. Moderation analysis revealed that the effect of internal marketing practices on internal brand equity is consistent across gender, employment status, and years of experience. There was no significant effect of gender, employment status, and years of experience on the relationship between internal marketing practices and internal brand equity. The study findings highlight the importance of strengthening internal brand equity through internal marketing practices in Ghanaian pharmaceutical companies to ensure competitiveness and industry leadership. It emphasises the need for a clear brand vision, reward systems, and employee development programs.