Research On Factors Affecting The Evaluations Of A Brand Extension

Brand extension is when a firm uses an established brand name to introduce a new product. Brand extension research has received much research attention from academics in recent years. Because brand extensions have only recently become so prevalent, "rules" guiding brand extension strategy are still emerging. Nevertheless, a flurry of academic research activity and some notable marketplace successes and failures are providing insight as to best management practices.This thesis presents a simple model of how consumers evaluate brand extensions, and concludes by summarizing research findings and offering managerial guidelines concerning the proper means to introduce brand extensions. It was argued that brand extensions strategies need to be carefully by using managerial judgment and consumer research.Previous study on brand extension mainly focus on extensions haven't introduced in the market. This thesis study brand extensions that already introduced in the market, such as Haier and Wahaha. The thesis moves beyond the student sample, providing a robust empirical foundation for generalizing factors affecting the evaluations of brand extension.The thesis concludes with results and findings of the analysis performed which the author hopes will help companies in improving their market strategies.