Canonical Correlation Analysis Of Factors Affecting Enterprise Brand Extension

As China’s economy continues to develop, the enterprise market is more competitive, people are constantly changing consumer attitudes. Most consumers are no longer only focus on the practicality of the appearance of the product or service, but considering all the factors before making a purchase decision. In order to meet the diverse needs of consumers, enterprises need to constantly introduce new products. But the risk occurring and the cost of the process takes is enormous. So all companies are adjusting strategies to improve their competitiveness in order to adapt to economic globalization trend. How to enable companies to stand out from the competition and maintain sustainable development, the brand extension has become an important means of many companies seeking growth and development.Current study extends the brand’s most influential factors affecting the single factor of brand extension, no combined effects of many factors to discuss, or to describe the interaction between the factors is too broad. In order to improve the effect of brand extension, companies in the process of extending its brands in its influencing factors should be taken into account. Canonical correlation analysis, multivariate analysis is the study of his relationship between two variables. It can not only explore the potential relationship between two sets of variables can also be reached in order to achieve the purpose of data reduction observed variables drawn from two common factors play a major role, but he can also analyze the independent variables on the dependent variable group as a whole group predict. Canonical correlation analysis can play simultaneously regression analysis, correlation analysis and factor analysis results. To this end, the basic research enterprise brand extension evaluation factors and their impact on the use of canonical correlation analysis, by quantitative analysis of the survey results, the main conclusions are as follows:First: the parent brand factors influence a great brand extension. Especially the parent brand factor in the two dimensions of brand association brand trust and have a significant impact on the effectiveness of brand extension.Second: the marketing influence of environmental factors on a large corporate brand extension. Which marketing capabilities and target customers significantly affect two dimensions of brand extension results.Third: factors influence consumer brand extension is great. In particular factor in consumer satisfaction and customer loyalty and consumer acceptance of the two dimensions of the extension products have a significant impact on the effectiveness of brand extension.Fourth: The three factors affect the corporate brand extension, consumers factors, marketing environment factors, factors influence the parent brand brand extension increases. Also influence the interaction between the three factors. Between environmental factors and the parent brand marketing factor positive correlation between the presence of a positive correlation between the parent brand factors and consumer factors.In this paper, a good complement to the previous theory, and in the process of brand extension, and take advantage of these factors, you can avoid wasting money, manpower, etc., to improve the success rate of brand extension, to steadily enhance the core competitiveness of enterprises the purpose.