Marketing Seminar（2016-05）

Title:Brand Construct and Extension Feedback Effects

Speaker:Joseph W. Chang,University of Massachusetts Dartmouth

Time:Friday 3 June. 9:00-10:30

Place:Room217, Guanghua Building 2

Abstract:

Research in brand evaluations has widely investigated the feedback effects of brand extensions, which involve the interplay of the three major elements of brand, brand extension and perceiver. The investigations mainly focus on the impacts of the characteristics of brand extensions and perceivers. However, less is known about the moderation of brand characteristics or construct. Therefore, capitalizing on group entitativity theories, this study attempts to advance brand research by examining the moderation of brand construct (i.e., entitativity) on brand perception and extension feedback effects.

As similarity, cohesiveness, and diversity are antecedents of group entitativity, the research questions are discussed from the perspectives of brand similarity, cohesiveness, and diversity and examined with three experimental studies. The findings reveal that, in terms of brand perception, brand similarity and cohesiveness are compatible concepts. Brands with similar and dissimilar brand extensions are cohesive and incohesive brands and, thus, high and low entitative brands, respectively. Adversely, cohesive and incohesive brands are brands consisting of similar and dissimilar brand extensions and, thus, high and low entitative brands, respectively. However, cohesive brands with dissimilar brand extensions and incohesive brands with similar brand extensions seemingly do not exist.

In terms of extension feedback effects, brand similarity and cohesiveness are partially compatible concepts. Brand similarity better supports group entitativity theories predicting brand perception and extension feedback effects. As a result, brand similarity (vs. cohesiveness) is a compatible concept, and an effective antecedent, of brand entitativity. The finding is contrary to the result of the extant research in group perception, which states that group cohesiveness is a more effective antecedent of perceived entitativity than group similarity for group perception.

Moreover, the moderation pattern of brand diversity on brand perception and extension feedback effects is partially different from the moderation patterns of brand similarity and cohesiveness. Brand diversity is an effective antecedent of brand entitativity only when diversity is high because high-diversity information decreases brand entitativity and, thus, weakens brand quality. As a result, high-diversity information moderates extension feedback effects, where unfavorable brand extensions exert asymmetric feedback effects on high- and low-similarity brands. Specifically, high- (vs. low-) similarity brands are more saliently weakened by unfavorable brand extensions. The results partially match the findings of McGarty et al. (1995) and suggest that brand diversity is partially compatible with brand entitativity.

In conclusion, the findings reveal that brand similarity, cohesiveness and diversity are different in the extent of compatibility to perceived entitativity, which result in different extents of moderation on extension feedback effects.

Introduction:

Dr. Chang is an assistant professor of marketing at the Charlton College of Business, University of Massachusetts Dartmouth. He had taught internationally across continents, including the immediate past decade in Canada, on both undergraduate and graduate levels. He also had several years of industry experience with multinational companies during his earlier career. His research specializes in consumer behavior about branding, consisting of one major and two supporting research streams. The first and major stream examines factors moderating the feedback effect of brand extensions on entitative brands. The second and third streams explore advertising message effectiveness and compare cross-cultural differences in perception, respectively. He received his MBA-Marketing from the University of Missouri and Ph.D. in Marketing from UMIST (presently the University of Manchester).

//www.umassd.edu/charlton/faculty/alphabeticallisting/changwjoseph/

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