Research On Brand Crisis Management Based On Consumer

In the era of globalization, the brand has become the core competence of many enterprises that are facing intensifying competition. With the establishment of governing laws or regulations and enhancement of government management capability, profit-oriented enterprises are frequently facing the brand crisis caused by their inappropriate business practice. Improper handling of the brand crisis could not only compromise the power of the brands, but also damage the enterprises behind the brands.The market economy in China is yet to be improved. With the interwoven of the orderly and disorderly market competition, the brand environment is full of uncertainty. The brand building in China is becoming increasingly difficult considering the lack of brand management capability in most Chinese enterprises. Hence, it is necessary to study the mechanisms of brand crisis and explore science-based brand management approaches.Based on current situation of brand crisis, the present study applied branding theory and contract theory to analyze the mechanisms of brand crisis; demonstrated that a brand crisis is essentially the distortion and breaking of the contractual relationship between the brand and the consumer. It is suggested that the key to brand crisis management is to rebuild the contractual relationship between the brand and the consumers. Built upon brand communication theory, crisis management theory, and brand fragmentation theory, the present study aims to build a practical and effective brand communication model to improve the information dissemination during brand crisis management.