Research On The Brand Governance Based On Stakeholders

With the continuous enhancement of the buyer’s market situation in the worldwide, the customers’ independent buying ability is lifting gradually and the focus of the competition translates from products to brand. Consequently, to build a reputational brand identification now is becoming the key of cultivating core competitiveness. Practice has proved that stakeholders are not only the operant resource of brand value, but also play a positive role on keeping a healthy branding path. Therefore, brand governance, which is main focus on ensuring brand co-creation with stakeholder, is becoming the most important measure of brand sustainable development.In China, brand governance make a spurt of progress in recent few years, however, there is a trend that the development of brand governance in China lacks of scientific thinking and systemic guidance, which result in imbalance of stakeholders. The companies tend to neglect the stakeholders who take charge to functions of supervision and constraint and not welling to draw them into brand governance process. This phenomenon leads to unhealthy ways of branding, which over focus on short-term value. Both western and eastern are plagued by the problem, and how to build a healthy branding way by brand governance is the most popular frontier of brand research in academia. At present, research on brand governance mainly focuses on three aspects, what is the reason for stakeholders participating in brand governance? How to improve the stakeholders’ performance? How to measure the effect of brand governance?With these three problems, this article research on the operation mechanism of brand governance. Based on the brand governance participation factors, process and engagement, the research logic which runs through the whole process of brand governance has been brought forward. And through the economics analysis, game theory, this research analyzed the conceptual framework of brand governance by steps as follows:First of all, explore the participation factors of brand governance. These factors involve in stimulating stakeholders participate the process of brand governance, which is the fundamental condition for branding co-creation and governance. On the basis of previous studies, we further analyzed the participation mechanism of stakeholders, which help us simplify and classify both brand co-creation and brand governance. Cooperating with Cobb-Douglas production function and theory of psychological contract, a research model of stakeholders’ participation in brand governance has been designed. Finally, according to the expectations of stakeholder,6participation factors has been found, which are communication environment, material incentives, emotional brand, fun of activity, ability for propagation and labor cost. The stakeholders are also divided into four parts, second-string, dedicatory, right focus and partnership focus stakeholders.Secondly, on the basis of brand community theory, innovatively bring forward the conception of brand governance engagement. According to the engagement and performance of stakeholders, the results of brand governance are measured. At the same time to strengthen the analysis of brand co-creation and governance mechanism, the simulation of brand co-creation process was built by introducing a dynamic game theory. Based on the limitations and contradictions, which emerged in simulation process, brand governance engagement has been separated into3dimensions:sense of belonging, awareness of supervision and rights as well as sense of long-term cooperation. The involvement of stakeholders in brand governance not only determines the effects, but also gives consideration to both efficiency and fairness in the process of brand governance.Then, according to the analysis of previous studies, consciousness of identity and partnership are proposed as2paths for deepening the brand governance. Consciousness of identity will affect the psychological factors of participants, which could consequently influence the brand governance engagement. On the other hand, partnership as a regulator will directly determine the performance of stakeholders in the cooperation process. Therefore, consciousness of identity and partnership are the bridge for brand governance participation factors and engagement.Fourthly, the questions in questionnaire are purified by pre-survey on Jinan BBA car club, Suzhou Lixing Benz club, Jinan star Mercedes Benz4s shop, Shandong TV and cultural media Co. and Laiwu Dazhong daily. And then, the research obtained the detailed first-hand data, which includes second-string, dedicatory, right focus and partnership focus stakeholders. All the581copies of questionnaire are analyzed by using the software of SPSS and AMOS. This process involves exploratory and confirmatory factor analysis, correlation analysis, structural equation model, Bayesian estimation, which ensure the reliability and validity of research. Finally, based on theoretical research and empirical analysis, the conclusions of this dissertation are as follows. Firstly, the stakeholders with different types have different performance in brand governance. Therefore, in the practical level, the company should differentiate the brand strategy in order to efficiently attract participants and improve their performance. Secondly, the participation factors of brand governance can indirectly influence the brand governance engagement by consciousness of identity and partnership. Thus, from the perspective of practice, the company should analyze the proportion and characteristics of6participation factors during the process of brand governance, take both communication environment and material incentive into account for the sake of promoting the investment strategy. They also need to focus on increasing the fun of brand activities and reducing the labor cost as well as building an emotional brand. In addition, through the introduction of the right-focus stakeholders, which could strengthen the external supervision and restriction of brand governance, has positive effects on cultivating the brand image and building defense mechanism against to the risk.