Year: 2010
Type: conference-paper
Abstract: Brand extension has been extensively discussed during the past two decades, however, most of the work has focused on horizontal extensions and little attention has been paid to vertical extensions. To address this imbalance of existing knowledge, we propose in this article aconceptual framework that integrates existing brand extension knowledge with insights from the pricing literature. Drawing from reference price and social judgement theories we propose a conceptual model that illustrates the effects of core brand price on consumers’ price expectancy which in turn affect evaluations of the extension perceived quality. Moderating factors that influence this relationship are also identified, namely step size and direction of the extension. The conceptual model is subsequently used to develop concrete research propositions to guide further research in the area.
Authors: Nicolas Pontes, Colin Jevons
Institution: Monash University
Language: English
Subfield: Marketing
Domain: Social Sciences
Open Access status: green
OpenAlex ID: W2640293204