The Brand Economy Study On The Credit Of Third Party Authentications

Under the circumstances of unequal accesses to information, the meaning of the brand is to provide an effective signal, enrich and balance the market information, save the consumer choice cost so as to promote smooth market transactions. So the brand construction becomes an unfallable choice for high quality enterprises. Certification and accreditation originated from the need to equalize information accesses in view of promoting smooth transactions. And through the credit transference mechanism we learn that consumers can trust a particular brand because of the credit of a third party. Accordingly the greatest contribution of authentication is providing an effective signal and improving the credit of product brand, which reduces the choice cost and improves the efficiency of resource allocation. It plays an important role in ensuring life safety and health, sustainable development of environment, resource conservation and efficient allocation. In this sense, the third party authentication is a very important step of brand construction and the study of third party certification is enssential for brand economics research.Along with the development of market economy in China and the speeding up of economic globalization, the third party authentication has become an essential arrangement of system. Although authentication can relieve the unbalance of information access, itself meanwhile displays serious information unbalance.If the authentication can't provide independent and fair verification, it will provide such wrong signals as to mislead consumers, disturb the market order and distort social resources distribution. Therefore this kind of authentication is not only invalid but also harmful.Only effective authentications have the necessity to exist. So the credit is the vigor of authentication, whereas low credit is the main conflict and problem that authentication is confronted. At present there exist such phenomena as ambiguous division between government and enterprise functions, universal lack of governmental accountability, low authentication threshold and poor subsequent supervision, common existence of false certifications, malignant competitions between authentication institutions where some of them will win competition with low prices and reduce costs through frauds after getting the contract at the price of authentication credit, overall occupational image as well as creditworthiness. The corruption of overall image and credit worthi-ness has also laid the foundation for rampant certification mark thefts.The existence of these problems in third party authentication have seriously harmed the interests of consumers, damaged the government accountability, fostered rent-seeking, affected the international competitiveness of domestic enterprises and destroyed the market order and social credit system. Thus, how to improve the credibility of third party authentication is an imminent problem.This paper, on the premise of present information unbalance, focuses its analyses in the framework of brand economics on authentication credit and explores in what conditions the authentication is effective. Credit means the realization of promises, so credit contains the following elements:who makes the promise, on which products or services and what is the promise committed and how to ensure its fulfilment. On the basis of this, we put forward the multiplier credit model of third party authentication, analyze how to ensure authentication credit from three aspects——authentication institutions, authentication standards and authentication objects——and meanwhile propose a strategy for the brand construction of third party authentication.To realize the value of third party authenticationand exercise its functions needs some conditions.First authentication institutions, as promisees of third party authentication, must be a honesty ability, independent, the authority of the economic subject. If a promisee is problematic itself, it is much less likely to fulfil the promises. Promoting access requirements means raising the minimum requirements for third party certification institutions and essentially improving its service quality and capacity. Raising the admittance threshold and enhancing examination and approval procedures is a standarization of the authentication market at the source. If there is any problem with the source, authentication credit will find nowhere to begin. The independence of authentication institutions is a key guarantee for objective, authoritative and fair implementation of third party authentication as well as an important premise to improve the regulation credit. Meanwhile, selection of auditors is an important factor that influences the authentication credit. Second, perfect the authentication standard system and provide scientific and accurate authentication criteria. The criteria should be made more scientific and practical to solve overlapping and conflicts between the existing standards and change the status quo of far out-of-dated criteria, low standards, backward testing means and unscientific testing index. The problems in the authentication criteria and testing means of our country directly damage the interests of consumers and in the long run restricte and hinder the technological progress of our country.Three, the third party authentication should be selective in terms of the authenticated enterprises. The original intention of authentication, particularly that of voluntary authentication, is to recommend good quality products to consumers in the form of authentication signals so as to improve the efficiency in making choice and promote the canonical development of economy. So authentication will lose its original significance if every enterprise goes for authentication. Besides there are too great risks for authentication institutions to authenticate low quality products, so it is advisable to choose their authentication objects carefully. The more powerful and bigger the authenticated enterprises, the better preserved is the credibility of third party authentication.In a word, many aspects of measures should be taken to solve the chaos in authentication industry of our country.First, exert effective supervision through the separation of government and enterprise functions. As authentication subjects, the authentication institutions must have independent legal status and carry out the work impartially instead of getting too much involved with administrative organs. Only with the separation of government and enterprise functions can it be possible to creat an enviornment for standardized authentication and fair supervision so as to improve the credibility of authentication supervision agencies. Second, raise the risk of third party aurhentication through the assessment of joint responsibilities. Laws and regulations on joint responsibilities of third party authentication should be established and perfected; the punnishment on unqualified authentication institutions and personnel be enhanced; information should be publicized and a compensation fund system be set up. Third, ensure the scientifialness of authentication standards and testing skills with technological progress. Fourth, improve the effectiveness of third party authentication through charge system reforms. Fifth, improving the effectiveness of third party authentication through external supervisions from the society and industry associations. Sixth, guide economic development by establishing a development direction for third party authentication. The business scopes of authentication and concerned institutions should be expanded to promote their growth, constitute a sound organization structure of authentication industry, foster a couple of renowned authentication agencies with strong competitiveness internationally, fully display the independent, objective and fair role of anthentication institutions as market subjects, and establish internationally renowned institutions recognized by the country. Seventh, promote the brand construction of third party authentication through international authentication and international cooperation. We should communicate actively with international authentication, improve our authentication level through mutual recognition, develop our own third party authentication brands on this basis, and achieve our international discourse through the third party authentication.