Interaction Mechanism and Strategy of Brand Relationship and Brand Extension

He Liu, Lili Fan

College of Arts and Science, Sichuan Normal University, Chengdu, China.
College of Economics and Management, Southwest Jiaotong University, Chengdu, China.

DOI: 10.4236/ojbm.2013.13008                

Abstract

As new products are generally difficult to be accepted by consumers, and the cost of initial market introduction is high, enterprises often choose to do market extension of an existing brand. Simultaneously, a successful brand extension can enhance the reputation of the original brand, and expand the brand value. But how can enterprise take a good brand extension? Through establishment of a dynamic model of brand extension under the brand relationship context, investigating the interaction mechanism between brand relationship and extension, and base on that, we developed a strategy model of interaction and improvement of brand relationship and brand extension.

Keywords

Brand Relationship; Brand Extension; Dynamic Model; Interaction Mechanism; Strategy Model

Conflicts of Interest

The authors declare no conflicts of interest.

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