Study On The Impact Of Brand Strength On Brand Extension Boundary

With the development of brand extension marketing, it has been widely used andapplied in various enterprises. Due to the importance of brand extension forenterprises, the ability and domain of brand extension have been paid much moreattention by enterprise and scholars. Under this circumstance, this dissertationcompletely discusses the influencing factors of brand extension boundary, carries outempirical analysis and analyzes and summarizes the influences of brand strength tobrand extension boundary.Making use of theoretical analysis and empirical study, based on the theories andmethods from management, psychology and statistics, this dissertation discusses therang of brand extension boundary which begins with the definition and classificationof brand extension boundary, the definition and assessment method of brand strengthand the influences of brand strength to brand extension boundary in depth.The main conclusion as well as creativity embodies in the following areas:Firstly, generalization of basic concept such as brand extension boundary andother related concepts. This dissertation explicitly analyzes the definition,characteristic and classification of brand extension boundary, and illustrates theinfluences on extension boundary from relationship between original product andaugmented product, brand and the resources and company strength four aspects.Secondly, this dissertation broadens the horizon of brand extension and extensionboundary theory and an original brand extension definition is proposed. Also, Anevaluation index of brand extension is established and analysis and summaries arecarried out in each influencing factors. Through analyzing the effect of TheHalo Effect and Spillover Effect on consumers, the theoretical basis of the influencesof brand strength to brand extension boundary is built up.Thirdly, from the angle of consumers, theoretical basis of brand extension isdiscussed by carrying out empirical analysis. Determine the brand extension at firstand then figure out the value of each product through multiplying by weightingcoefficient. Using the same assumption, four group questionnaires are designed toinvestigate the decision condition of brand extension boundary within the influence ofbrand strength. According to the approbation of virtual extension product forconsumers, this dissertation deduces the extension field and content of extensionboundary for each brand.