Study On The Process Of Brand Extension Based On The Brand Internalization

Along with the arrival of economic integration and information, the brand has been the focus and effective instrument of the competition and getting more and more focus from the enterprises and consumers. So many enterprises choose the brand extension as their method to avoid the risks which line in the high research development costs and the customer demand uncertainty. The successful brand extension can increase the acceptability of new products, satisfies the consumer diversification demand; if it is used blindly, it may not only helpful to expanding new products or new businesses, but also damage the existing brand property. The article firstly introduces the domestic and foreign research on the brand extension and extension process, points out the research goal, the significance, and the innovation in this thesis; In the second part, the author limits the definition and the characteristic about the brand, the brand extension the brand internalization and other related concept, designed the brand extension process by internalization theory; analyzes the key aspect which the influence brand extends and proposes the decision method, points out the problems which the managers must to attention; basing on the concept of brand internalization, the author suggests that after the company determined the objective of the brand extension, selected the appropriate product and carried on the reasonable localization, the manager should strengthen the internalizes management, through constructing the internal recognition system, adjusting organizational structure, training and driving the staff ,coordinating the enterprise culture that safeguard brand extends strategy development. At last, the thesis goes deep into three parts to build up a performance evaluation system, the parts contain the namely, customer satisfaction, financial indicators, market indicators and the related attitude indicators, gives some measures to control the risks in the process of extending the brand. It is a new research attempt that introduced the concept of brand internalization in this article. Through the research, author hoped that the research can facilitate the decision making when the company using the brand extension to put the new product into the market, on the other hand, the author also hoped that the research can provide a new vision and thought in the study of brand extension.