Purpose: The purpose of this thesis was to examine whether Jönköping’s brand image reflected its place brand identity, and to analyse if it affected the retention of graduating students.

Problem: Sweden has many cities with large universities that have extensive student populations. These students could have a strong influence on a city’s economic growth and as companies may choose to cluster around high concentrations of talents, one could therefore argue that these university cities are in advantageous positions. However, most university cities in Sweden fail to retain graduating students and make them permanent residents. Therefore, these cities miss out on important opportunities to attract companies and reach economic growth.

Method: This qualitative study was carried out through in-depth interviews on place brand identity with two different key actors in the city of Jönköping as well on the place brand image, and the criteria considered when deciding on location to reside in, with four graduating students.

Findings: The results showed that there is a strong reflection between Jönköping’s brand identity and brand image and that the students have positive attitudes toward the city. However, Jönköping does neither possess, nor is strong in, the factors and characteristics students desire and need in a city. Therefore, the results pointed to the conclusion that it is not the reflection between the place brand identity and place brand image that affects the retention of graduating students.

Implications: The analysis indicated that it is the characteristics a city possesses and the focus brand managers put on addressing and improving them that affects the retention of graduating students.