Consumer evaluations of corporate brand redeployments

There has been little attention paid to the management of corporate brand names as part of the merger and acquisition process. As an initial step towards developing a better understanding of this brand redeployment decision the authors consider the reactions of one important stakeholder group—consumers—to alternative strategies. Specifically, the authors discuss the importance of the corporate branding decision in the M&A process and present a typology of alternative redeployment strategies as well as an exploratory study examining reactions to different postmerger branding strategies. The authors find evidence that the brand equity related to corporate brands is often decreased as a result of M&A activities and that individuals react differently to mergers employing different redeployment strategies. These results emphasize the need for firms to evaluate the corporate branding component of M&A activities as part of the process of managing corporate brands and should generate interest and research in this managerially relevant area. Anupam Jaju (ajaju@gmu.edu) is an assistant professor of marketing at George Mason University. He received his Ph.D. from the University of Georgia at Athens. His articles have appeared in leading marketing journals, including theJournal of the Academy of Marketing Science, theJournal of International Management, Marketing Theory, andMarketing Education Review. His current research focuses primarily on exploring three interrelated domains of business: the link between corporate and functional (marketing) strategy, the market orientation of corporate strategies, and the market and customer-related consequences of corporate strategy. Christopher Joiner (cjoiner@gmu.edu) is an assistant professor of marketing at George Mason University. He received his Ph.D. from the University of Minnesota. His articles have appeared in leading marketing journals, including theJournal of Marketing, theJournal of Consumer Psychology, the Journal of Current Issues and Research in Advertising, andAdvances in Consumer Research. Srinivas K. Reddy (sreddy@terry.uga.edu) is the Robert O. Arnold Professor of Marketing and the director of the Coca-Cola Center for Marketing Studies at the Terry College of Business, University of Georgia. He received his Ph.D. from Columbia University. He has taught previously at New York University, Columbia University, and the University of California, Los Angeles, and was a visiting professor at Stanford Business School. His research on brand and marketing strategy and has been published in theJournal of Marketing, theJournal of Marketing Research, Management Science, Marketing Letters, theJournal of the Academy of Marketing Science, and theJournal of Business Research. His current research interests include the financial and marketing impacts of brand failure and understanding the value of creative products such fine art.     

Brand-extension price premiums: The effects of perceived fit and extension product category risk

One of the assumed benefits of extending a strong brand into a new product category is the ability to capture a price premium relative to comparable products associated with lower equity brands. The authors argue that brand-extension price premiums accrue in part due to the ability of a known brand to reduce the perceived risk customers experience in making purchase decisions. Accordingly, price premiums can be expected to vary depending on the risk associated with a purchase decision. The authors manipulated perceived fit between a brand and extension products and three dimensions of extension product category risk. They found that brand-extension price premiums are positively related to the perceived fit between the brand and the extension category. However, this relationship varies considerably depending on the levels of financial and social risk associated with the extension product category. Implications of these findings for theory, practice, and future research are discussed. Devon DelVecchio (devond@uky.edu) is an assistant professor of marketing in the Gatton College of Business and Economics at the University of Kentucky. His research focuses on pricing, promotions, and brand management. His work has appeared in journals such as theJournal of Product and Brand Management and theJournal of Consumer Affairs. Daniel C. Smith (dansmith@indiana.edu) is the Clare W. Barker Chair in Marketing and Interim Dean at the Kelley School of Business at Indiana University. His current research focuses on brand and product management, and marketing strategy. His work has appeared in journals such as theJournal of Marketing Research, theJournal of Marketing, theJournal of Consumer Research, theJournal of the Academy of Marketing Science, Harvard Business Review, theJournal of Advertising Research, andStrategic Management Journal, among others. He serves on the Editorial Board of theJournal of Marketing and theJournal of the Academy of Marketing Science and received Outstanding Reviewer awards at both. He also serves on the Editorial Board of theJournal of Personal Selling and Sales Management.     

Attitude basis,certainty, and challenge alignment: A case of negative brand publicity

By integrating research from attitude challenge matching and consumer alignment and judgment revision, the authors explore how firms can position brands to insulate them from negative publicity and how consumers evaluate brands in reaction to such publicity. They introduce an important moderator of brand evaluation revision, prior brand attitude certainty, and propose that when negative publicity matches or “aligns” with the basis of a brand attitude, certainty in that attitude interacts with the attitude, determining the affect of the negative publicity on brand evaluations. The results of two experiments suggest that prior brand attitudes held with high certainty tend to “nsulate” brands, even when negative publicity matches or aligns with the bases of brand attitudes, whereas brand attitudes held with low certainty may exacerbate the effects of negative event publicity. The results also show that multiplex positioning (positioning a brand with both performance-and values-based attributes) may insulate brands more effectively from negative publicity. Chris Pullig (chris_pullig@baylor.edu) is an assistant professor of marketing in the Hankamer School of Business at Baylor University. Before beginning his academic career, Professor Pullig worked in the retail industry as the CEO of a chain of specialty clothing stores and also as a consultant with the Small Business Administration. He received his Ph.D. from Louisiana State University and was previously on the faculty at the University of Virginia. His research is in consumer attitudes and decision making, with an emphasis on effective creation and the protection of consumer-based brand equity. His previous work has been published in theJournal of Marketing, theJournal of the Academy of Marketing Science, theJournal of Retailing, theJournal of Consumer Psychology, theJournal of Public Policy and Marketing, and others. Richard G. Netemeyer (rgn3p@virginia.edu) is the Ralph A. Beeton Professor of Free Enterprise in the Mclntire School of Commerce at the University of Virginia. He received his PhD in business administration from the University of South Carolina in 1986. From 1986 to 2001, he was a member of the Marketing Department in the College of Business at Louisiana State University. In 2001, he joined the faculty at Mclntire. His substantive research interests include’ consumer and organizational behavior topics and public policy and social issues. His methodological research interests focus on survey methods and measurement. His research has been published in theJournal of Marketing, theJournal of Marketing Research, theJournal of Consumer Research, theJournal of Applied Psychology, theAmerican Journal of Public Health, and others. Abhijit Biswas (a.biswas@wayne.edu) is the Kmart Endowed Chair and Professor of Marketing at the School of Business Administration, Wayne State University. He received his PhD from the University of Houston. His research interest is primarily in the area of pricing and consumer behavior, and he has published numerous research papers in journals such as theJournal of Marketing, theJournal of the Academy of Marketing Science, theJournal of Retailing, theJournal of Consumer Psychology, theJournal of Public Policy and Marketing, theJournal of Advertising, theJournal of Business Research, Psychology and Marketing, Marketing Letters, and other refereed journals and proceedings. He currently serves on the editorial boards of theJournal of the Academy of Marketing Science and theJournal of Public Policy and Marketing and is the associate editor for the Business and Marketing Research track of the Journal of Business Research.     

An examination of selected marketing mix elements and brand equity

This study explores the relationships between selected marketing mix elements and the creation of brand equity. The authors propose a conceptual framework in which marketing elements are related to the dimensions of brand equity, that is, perceived quality, brand loyalty, and brand associations combined with brand awareness. These dimensions are then related to brand equity. The empirical tests using a structural equation model support the research hypotheses. The results show that frequent price promotions, such as price deals, are related to low brand equity, whereas high advertising spending, high price, good store image, and high distribution intensity are related to high brand equity. Boonghee Yoo (Ph.D., Georgia State University) is an assistant professor of marketing at St. Cloud State University. His research interests include brand equity, cross-cultural scale development, service quality, retail productivity, Internet marketing, and marketing methodology. He has published previously in theJournal of Retailing, theJournal of Business Research, theJournal of Business & Industrial Marketing, theJournal of Service Research, and theJournal of Marketing Channels. Naveen Donthu (Ph. D., University of Texas, Austin) is a professor of marketing at Georgia State University. His research interests center on research methodology, site selection models, comparative and outdoor advertising, brand equity, Hispanic consumer research, cross-cultural issues, and customer satisfaction. His work has appeared in journals such asMarketing Science, theJournal of Marketing Research, theJournal of Consumer Research, theJournal of the Academy of Marketing Science, theJournal of Advertising, theJournal of Advertising Research, theJournal of Retailing, and theJournal of Business Research. Sungho Lee (Ph.D., University of Illinois at Urbana-Champaign) is an assistant professor of marketing at the University of Seoul, South Korea. His research focuses on understanding consumers’ cognitive processing of brand and price information, brand extension and brand equity, and advertising-driven persuasion processes. He has published previously inAdvances in Consumer Research, Asia-Pacific Advances in Consumer Research, Academy of Marketing Science-World Marketing Congress, Korean Marketing Review, andKorean Management Review.     

Brand portfolio, corporate image, and reputation: Managing brand deletions

Brand portfolio management addresses, among other issues, the interrelated questions of what brands to add, retain, or delete. A small number of brands in a firm’s brand portfolio can often have a disproportionately large positive or negative impact on its image and reputation and the responses of stakeholders. Brand deletions can be critical from the standpoint of a firm being able to free up resources to redeploy toward enhancing the competitive standing and financial performance of brands in its portfolio with the greatest potential to positively affect its image and reputation. Against this backdrop, the authors focus on the organizational and environmental drivers of brand deletion propensity, the predisposition of a firm to delete a particular brand from its brand portfolio. The authors propose a conceptual model delineating the drivers of brand deletion propensity and suggest directions for future research, including the related concept of brand deletion intensity. Rajan Varadarajan (varadarajan@tamu.edu) is Distinguished Professor of Marketing and holder of the Ford Chair in Marketing and E-Commerce in the Mays Business School at Texas A&M University. His primary teaching and research interest is in the area of strategy. His research on strategy has been published in theJournal of Marketing, the Journal of the Academy of Marketing Science, theAcademy of Management Journal, theStrategic Management Journal, and other journals. Rajan served as editor of theJournal of Marketing from 1993 to 1996 and theJournal of the Academy of Marketing Science from 2000 to 2003. He currently serves on the editorial review boards of theJournal of Marketing, theJournal of the Academy of Marketing Science, theJournal of International Marketing, theJournal of Interactive Marketing and other journals. He is a recipient of a number of honors and awards, including the Academy of Marketing Science Distinguished Marketing Educator Award (2003), the American Marketing Association Mahajan Award for Career Contributions to Marketing Strategy (2003), and the Texas A&M University Distinguished Achievement Award in Research (1994). Mark P. DeFanti (mdefanti@tamu.edu) is a doctoral student in marketing at Texas A&M University. He received his M.B.A. from The University of Texas at Austin and his B.A. from Amherst College. His current research interests include brand portfolio management, corporate name changes, and business-to-business branding. His teaching interests include advertising, brand management, and marketing strategy. Paul S. Busch (p-busch@tamu.edu) is a professor of marketing in the Mays Business School at Texas A&M University. He received his Ph.D. from Pennsylvania State University. His research has been published in theJournal of Marketing, theJournal of Marketing Research, Decision Sciences, theJournal of Business Research, andBusiness Horizons. He serves on the editorial review boards of theJournal of Business-to-Business Marketing, theAsian Journal of Marketing, andMarketing Management. His research interests include buyer-seller relationships, business-to-business branding, and brand portfolio management. His teaching interests include promotional strategy and new product development.     

Investigating industry context effects in consumer-firm relationships: Preliminary results from a dispositional approach

Few, if any, past studies have attempted to develop a model to capture and explain industry context variability and hypothesize its effects on consumer-firm relationships. Generally, industry effects are ignored, described, or explained post hoc. Using the notion of consumers' dispositions toward a market, a framework is proposed for understanding the influence of industry context on consumer satisfaction, trust, value, and loyalty in relational exchanges. The empirical results of a survey in two service industries show that industry contexts matter and yield significant direct and moderating effects on consumer-firm relationships. The study underscores the promise of a dispositional approach for providing insights for the theory and practice of relationship marketing, resolvin goutstanding questions, and proposing fruitful areas for further examination. Edwin Nijssen, Ph.D., is a professor of marketing at the Nijmegen School of Management at the University of Nijmegen, the Netherlands. His research interest focuses on strategic and international marketing issues, relationship marketing, brand management, and new-product development. He has published inLong Range Planning, theJournal of Product Innovation Management, Technology Forecasting and Social Change, R&D Management, Industrial Marketing Management, and theJournal of International Marketing and has written several books on marketing strategy. Jagdip Singh, Ph.D., is a professor of marketing at the Weatherhead School of Management at Case Western Reserve University. His primary areas of research include consumer dissatisfaction and trust, measurement issues—including relationships between theoretical concepts and empirical observations— and the effectiveness of boundary role personnel. He has published in theJournal of Marketing, theAcademy of Management Journal, theJournal of the Academy of Marketing Science, Behavioral Research in Accounting, andManagement Science, among others. Deepak Sirdeshmukh, Ph.D., is a visiting assistant professor of marketing at the Weatherhead School of Management at Case Western Reserve University. His primary areas of research include consumer trust and consumer processing of brand information. He has published in theJournal of Marketing, theJournal of Marketing Research, theJournal of Consumer Research, theJournal of the Academy of Marketing Science, and theJournal of Consumer Psychology, among others. Hartmut H. Holzmüeller, Ph.D., is a professor of marketing at the School of Business at Dortmund University, Germany. His research interests include cross-national consumer research and customer relationship marketing. Most of his work has been published in German. His articles also appeared in theJournal of International Marketing, Management International Review, andInternational Business Review.     

The consumer quest for authenticity: The multiplicity of meanings within the MG subculture of consumption

Authenticity in the consumption context is an important topic within the marketing literature. This article explores authenticity’s multiplicity of meanings within the MG brand subculture of consumption. An ethnographic approach guided data collection, which included participant observation, photo and document reviews, informal conversations, and formal, in-depth interviews with 58 MG owners. The data show that MG owners gain a sense of authenticity in the consumption context via the object and its ownership, consumer experiences, and identity construction and confirmation. As an object, an MG is authentic if it broaches an ideal standard and preserves the brand heritage. An MG experience is authentic when an owner interacts with the car through driving and self-work activities. Finally, an MG owner authenticates his or her identity through role performance and communal commitment. Implications are discussed in light of brand management. Thomas W. Leigh (tleigh@terry.uga.edu) holds the Emily H. and Charles M. Tanner, Jr. Chair of Sales Management at the University of Georgia. He earned his DBA in marketing at Indiana University and an MBA and BS (economics) from Southern Illinois University. He is a past president of the American Marketing Association (AMA) Academic Council, has served on the AMA Board Finance Committee, and is a charter member of the AMA Foundation Leadership Circle. He served as chairman of the East Georgia Chapter of the American Red Cross from 1992 to 1993. His research has appeared in a variety of journals, includingJournal of Marketing Research, Journal of Marketing, Journal of Consumer Research, Journal of Applied Psychology, Journal of Advertising, Journal of Advertising Research, Planning Review, Journal of Purchasing and Materials Management, Journal of Personal Selling and Sales Management, Journal of Academy of Marketing Science, andExpert Systems and Applications. He has served on the editorial boards ofJournal of Marketing, Journal of the Academy of Marketing Science, andJournal of Personal Selling and Sales Management. Cara Peters (petersc@winthrop.edu) is an assistant professor of marketing at Winthrop University in Rock Hill, South Carolina. She holds a BA in management from Luther College and an MBA and a PhD in business administration from the University of Nebraska. She has published in numerous conference proceedings and peer-reviewed journals, including theJournal of Consumer Psychology; Consumption, Markets, and Culture; and {jtJournal of Academy of Marketing Science}. Jeremy Shelton (sheltonious@yahoo.com) is an assistant professor of psychology at Lamar University. He holds a PhD from the University of Georgia. His research interests lie in consumer identity and brand extensions. He has published inConsumption, Markets, and Culture, among other outlets.     

Effects of loyalty programs on value perception,program loyalty,and brand loyalty

The authors investigate how reward schemes of a loyalty program influence perceived value of the program and how value perception of the loyalty program affects customer loyalty. The results show that involvement moderates the effects of loyalty programs on customer loyalty. In high-involvement situations, direct rewards are preferable to indirect rewards. In low-involvement situations, immediate rewards are more effective in building a program's value than delayed rewards. Under high-involvement conditions, value perception of the loyalty program influences brand loyalty both directly and indirectly through program loyalty. Under low-involvement conditions, there is no direct effect of value perception on brand loyalty. Youjae Yi (uoujae@snu.ac.kr) (Ph.D., Stanford University, 1987) is a professor of marketing in the College of Business Administration at Seoul National University. He was at the University of Michigan as an assistant professor, Sanford Robertson Assistant Professor, and tenured associate professor. His work has appeared in theJournal of Marketing Research, theJournal of Consumer Research, theJournal of Applied Psychology, theJournal of the Academy of Marketing Science, theJournal of Consumer Psychology, theJournal of Advertising, and theJournal of Econometrics. He is currently an editor of theKorean Journal of Consumer Studies and was an editor of theSeoul Journal of Business. Hoseong Jeon (jeonho1@snu.ac.kr) is a doctoral candidate in the College of Business Administration at Seoul National University. He received his M.A. in advertising from Michigan Sate University. His current research interests include customer relationship management, advertising effects on consumer attitudes, and determinants of customer loyalty.     

The role of brand personality in charitable giving: An assessment and validation

Marketing concepts such as corporate identity, image, and branding are important strategies for nonprofit organizations. In particular, brand personality has been advocated by practitioners but has not been empirically investigated in the nonprofit context. According to social exchange theory and trust, the authors argue that nonprofit stakeholders perceive nonprofit organizations at an abstract level because of the organizations’ intangibility and social ideals. This study develops and refines a parsimonious measure of brand personality specifically for the nonprofit context. The authors conduct a series of six multimethod studies of nonprofit stakeholders to validate the role of brand personality in nonprofit organizations. The results yield four dimensions of brand personality for nonprofits: integrity, nurturance, sophistication, and ruggedness. Thus, current and potential donors ascribe personality traits to nonprofit organizations and differentiate between nonprofits on the basis of the organizations’ personality. Finally, nonprofit brand personality may influence potential donors’ likelihood to contribute. Beverly T. Venable (venable_beverly@colstate.edu; Ph.D., University of Mississippi) is an assistant professor of marketing at Columbus State University. Her research interests are in nonprofit marketing, branding, and ethics. She has published in theJournal of Business Ethics and several national and international proceedings. Gregory M. Rose (rosegm@u.washington.edu; Ph.D., University of Oregon) is an associate professor of marketing at the University of Washington, Tacoma. His research interests include consumer socialization and cross-cultural consumer behavior. He has published articles in theJournal of Consumer Research, theJournal of Marketing, theJournal of the Academy of Marketing Science, theJournal of Business Research, theJournal of Advertising, and theJournal of Consumer Psychology, as well as other journals and proceedings. Victoria D. Bush (vbush@bus.olemiss.edu; Ph.D., University of Memphis) is an associate professor of marketing at the University of Mississippi. Her research interests include cultural diversity in buyer-seller relationships, advertising ethics, and Internet marketing. Her research has been published in theJournal of the Academy of Marketing Science, theJournal of Advertising Research, theJournal of Advertising, theJournal of Public Policy and Marketing, andIndustrial Marketing Management, as well as other journals and proceedings. Faye W. Gilbert (faye.gilbert@gcsu.edu; Ph.D., University of North Texas) is a professor of marketing and dean of the J. Whitney Bunting School of Business at Georgia College and State University. Her research interests are in customer relationship management, health care marketing, and sales management. She has published in theJournal of the Academy of Marketing Science, theJournal of Business Research, theJournal of Retailing, Psychology and Marketing, as well as other journals and proceedings.     

Product-, corporate-, and country-image dimensions and purchase behavior: A multicountry analysis

This research focuses on consumer perceptions that are developed on the basis of a firm’s advertising appeals as well as other factors. In conceptualizing brand-image perceptions, the authors extend the frequent use of productrelated images to include corporate and country images attached to brands. The authors report findings based on secondary economic and cultural data at the macro level and the results of a global brand-image survey conducted in the top 20 international automobile markets at the individual level. The findings suggest that while consumers’ attitudes toward corporate image and country image exert main effects on their brand purchase behavior, the effects of certain product-image appeals are moderated by sociodemographics and national cultural characteristics. The empirical results are broadly supportive of the proposed hypotheses and provide a consumer-based extension of Roth’s work on global brand image. Ming-Huei Hsieh (hmh@saturn.yzu.edu.tw), Ph.D., is an assistant professor in the Department of International Business, Yuan Ze University, Taiwan. She has obtained her Ph.D degree (2002) from Warwick Business school of the University of Warwick, United Kingdom. Prior to her Ph.D. study, she conducted several market research projects for major multinationals, including General Motors, Procter & Gamble, Bayer, Johnson & Johnson, and Prudential in Taiwan. She is currently studying a variety of topics in cross-national consumer research. Specifically, she is exploring topics in brand management. She is also interested in the areas of Internet marketing and customer relationship management (CRM). She has articles published in theJournal of International Marketing, theJournal of Product and Brand Management, and theJournal of Organizational Computing and Electronic Commerce. Shan-Ling Pan (pansl@comp.nus.edu.sg), Ph.D., is an assistant professor and the coordinator of the Knowledge Management Laboratory (http://kmlab.comp.nus.edu.sg) in the Department of Information Systems of the School of computing at the National University of Singapore. He received his MBA degree (1993) from the University of Texas at San Antonio, his MA degree (1996) from the University of London School of Oriental and African Studies (SOAS), and his Ph.D. degree (2000) from the University of Warwick, United Kingdom. His primary research focuses on the recursive interaction of organizations and information technology (enterprise systems), with particular emphasis on organizational issues such as work practices, cultures, structures, decision making, change, and strategy implementation. His research work has been published inInstitute of Electrical and Electronics Engineers (IEEE) Transaction on Engineering Management, theJournal of the American Society for Information Systems and Technology Communications of the Association for Computing Machinery, Information and Organization, theJournal of Strategic Information Systems, theEuropean Journal of Information Systems, andDecision Support Systems. Rudy Setiono (rudys@comp.nus.edu.sg) received his Bachelor of Science degree from Eastern Michigan University and M.Sc. and Ph.D. degrees from the University of Wisconsin-Madison in 1984, 1986, and 1990, respectively. He has been with the National University of Singapore since 1990 and he is currently an associate professor in the School of Computing. His research interests include linear programming, nonlinear optimization, and neural networks. He is a senior member of IEEE and serves as an associate editor ofIEEE Transactions on Neural Networks. His publications have appeared in theSIAM Journal on Control and Optimization, theEuropean Journal of Operational Research, theJournal of Optimization Theory and Applications, IEEE Transactions on Neural Networks, IEEE Transactions on Data and Knowledge Engineering, IEEE Transactions on Systems Man and Cybernetics, Neural Computation, Neurocomputing, Connection Science, Management Science, and many other reputable journals.     

The accuracy of brand and attribute judgments: The role of information relevancy, product experience, and attribute-relationship schemata

A multidimensional approach for accuracy of ratings is introduced that examines consumers’ abilities to assess various brands across a set of attributes and attribute performances across a set of brands. A model is presented that addresses the roles of the relevancy of information, attribute-relationship schemata, and consumers’ product category experience on the accuracy of their brand attribute ratings. Study participants were provided either with relevant or irrelevant attribute information for various automobile brands and later asked to rate the attribute performances of brands. The results indicate that the provision of relevant information in the judgment environment increases brand and attribute rating accuracy but does not favorably affect consumers’ brand attribute-relationship schemata. Rather, consumers’ product experience was directly related to their attribute-relationship schemata, which in turn were related to improved accuracy of brand and attribute ratings. Kevin Mason is an associate professor of marketing at Arkansas Tech University. His research interests include consumer information processing and choice strategies. He has published in theJournal of Marketing Theory and Practice, Journal of Consumer Marketing, Central Business Review, Journal for the Association of Marketing Educators, andInternational Advances in Economics Research. Thomas Jensen is professor and Wal-Mart lecturer in retailing in the Department of Marketing and Transportation at the University of Arkansas. His research interests include consumer information processing, advertising and price perceptions, and retail image and patronage. His work has been published in theJournal of Consumer Research, Journal of Experimental Social Psychology, Psychology and Marketing, Personality and Social Psychology Bulletin, Journal of Retailing, Journal of Business Research, and other journals. Scot Burton is professor and Wal-Mart chairholder in marketing, Department of Marketing and Transportation, University of Arkansas. His research interests include public policy and consumer welfare concerns, survey research measurement issues, and consumer price and promotion perceptions. His work has been published in theJournal of Marketing, Journal of Marketing Research, Journal of Consumer Research, Journal of the Academy of Marketing Science, Public Opinion Quarterly, Journal of Applied Psychology, Journal of Public Policy & Marketing, Journal of Retailing, and other journals. Dave Roach is a professor of management at Arkansas Tech University. His research interests include information processing, judgmental accuracy, and organization change. He has published inHuman Relations, Journal of Applied Psychology, International Journal of Computer Integrated Manufacturing, Journal of Information Technology Management, Journal of Consumer Marketing, Central Business Review, andJournal for the Association of Marketing Educators.     

Exploring the brand value-shareholder value nexus for consumer goods companies

It is generally claimed that brand names are a corporate asset with an economic value that creates wealth for a firm’s shareholders. However, the scholarly literature has neither provided a comprehensive theoretical basis for this claim nor documented an empirical relationship between brand value and shareholder value. This exploratory study describes a rationale for, and documents, the statistical strength and functional form of a brand value-shareholder value relationship for publicly held consumer goods companies in the United States. A theoretical argument supportive of a positive relationship between a firm’s accumulated brand value and market-to-book (M/B) ratio was empirically validated. However, even though firms with higher accumulated brand values have higher M/B ratios, the functional form of the relationship was found to be concave with decreasing returns to scale. Theoretical and managerial implications of these findings are outlined, as well as study limitations and directions for future research. Roger A. Kerin (Ph.D., University of Minnesota) is the Harold C. Simmons distinguished professor of marketing at the Edwin L. Cox School of Business, Southern Methodist University. His research focuses on marketing strategy and product management issues. He has published more than 50 articles appearing in such journals as theJournal of Marketing, theJournal of Marketing Research, Strategic Management Journal, andManagement Science, in addition to authoring four books. He presently serves on numerous editorial review boards and is a former editor of theJournal of Marketing. Raj Sethuraman obtained his Ph.D. from Northwestern University and is an assistant professor at the Edwin L. Cox School of Business, Southern Methodist University. His research focuses on competitive marketing strategies, especially price and advertising strategies. He has published in several journals including theJournal of Marketing Research, Management Science, Marketing Letters, theJournal of Business Research, and theJournal of Consumer Psychology.     

Relational benefits in services industries: The customer’s perspective

This research examines the benefits customers receive as a result of engaging in long-term relational exchanges with service firms. Findings from two studies indicate that consumer relational benefits can be categorized into three distinct benefit types: confidence, social, and special treatment benefits. Confidence benefits are received more and rated as more important than the other relational benefits by consumers, followed by social and special treatment benefits, respectively. Responses segmented by type of service business show a consistent pattern with respect to customer rankings of benefit importance. Management implications for relational strategies and future research implications of the findings are discussed. Kevin P. Gwinner is an assistant professor of marketing in the School of Business at East Carolina University, North Carolina. His primary research interest centers on improving and managing the performance of frontline, customer-contact employees. His research has been published in theInternational Journal of Service Industry Management, International Marketing Review, and theJournal of Marketing Education. Dwayne D. Gremler is an assistant professor of marketing in the College of Business and Economics at the University of Idaho. His current research interests are in services marketing, particularly customer loyalty and retention, relationship marketing, service encounters, and word-of-mouth communication. His work has been published in theInternational Journal of Service Industry Management, theJournal of Professional Services Marketing, andAdvances in Services Marketing and Management. Mary Jo Bitner is a professor of marketing and the research director for the Center for Services Marketing and Management at Arizona State University. Her research focuses on customer evaluations of service, service quality, and service delivery issues. She has published in theJournal of Marketing, Journal of the Academy of Marketing Science, Journal of Business Research, Journal of Retailing, and theInternational Journal of Service Industry Management. She is coauthor of the textServices Marketing (McGraw-Hill, 1996).     

An exploration of the moderating role of buyer corporate culture in industrial buyer-seller relationships

In this study, the authors examine industrial buyer-seller relationships, exploring the influence of buyer perceptions of their relationships on their repurchase intentions. In particular close relationships as opposed to pure transactions, are examined. Using data collected from buyers of industrial goods and services, the authors examine the association between buyers' perceptions of relationship quality and repurchase intentions and the moderating effect of the corporate culture of the buying firms. The results suggest a significant relationship between buyer perceptions of the relationship and their repurchase intentions, as well as a significant moderating effect of buyer firm corporate culture. The implications of these findings for the study of marketing relationships, as well as for marketing practice, are also offered. Kelly Hewett is an assistant professor of marketing at Winthrop University. Her research focuses on the management of relationships between buyers and sellers as well as between headquarters and foreign subsidiaries in managing the marketing function globally. Her research has been published in theJournal of Marketing, Journal of International Marketing, andPsychology and Marketing. R. Bruce Money is an associate professor of international business at the Moore School of Business, University of South Carolina. His research interests include international aspects of business-to-business marketing, word-of-mouth promotion, services marketing, and negotiation. His research has been published in theJournal of Marketing, Journal of International Business Studies, andSloan Management Review. Subhash Sharma is a professor of marketing and the Charles W. Coker Sr. Distinguished Foundation Fellow at the Moore School of Business, University of South Carolina. His research interests include research methods, pricing, CRM, and e-commerce. His research has been published in major marketing and related journals, and he serves on the editorial review board of theJournal of Marketing, Journal of Marketing Reserch, andJournal of Retailing.     

Determinants of online channel use and overall satisfaction with a relational,multichannel service provider

This study examines what drives customers' use of an online channel in a relational, multichannel environment. The authors propose a conceptual model of the determinants of online channel use and overall satisfaction with the service provider. They then conduct two large-scale studies in different service contexts to test the model. The results show that Web site design characteristics affect customer evaluations of online channel service quality and risk, which in turn drive online channel use. Customers' overall satisfaction with the service provider is determined by the service quality provided through both the online channel and the traditional channel. The results offer insights into the trade-offs that multichannel service providers face as they attempt to influence online channel use while maintaining or enhancing overall customer satisfaction. Mitzi M. Montoya-Weiss (m_mw@ncsu.edu) (Ph.D., Michigan State University) is a professor of marketing in the Department of Business Management at North Carolina State University. Her research interests include new product development and adoption, virtual teams, and knowledge management. Her research has appeared inMarketing Science, Management Science, Decision Sciences, theAcademy of Management Journal, theJournal of Product Innovation Management, and other scholarly journals. She has taught courses in marketing management, product and brand management, and management of technology. Glenn B. Voss (gvoss@ncsu.edu) (Ph.D., Texas A&M University) is an associate professor of marketing in the Department of Business Management at North Carolina State University. His research interests include relationship and services marketing, creativity and entrepreneurship, and retail pricing strategies. His research has appeared in theJournal of Marketing, Organization Science, theJournal of Retailing, Marketing Letters, theJournal of the Academy of Marketing Science, and other scholarly journal. He currently serves on the editorial review board of theJournal of the Academy of Marketing Science and has served as an ad hoc reviewer for theJournal of Marketing, theJournal of Marketing Research, theJournal of Retailing, and theJournal of Business Research. He has taught courses in marketing strategy, electronic marketing, and nonprofit management in MBA programs in the United States and Europe. Dhruv Grewal (dgrewal@babson.edu) (Ph.D., Virginia Polytechnic Institute) is the Toyota Chair in E-Commerce and Electronic Business in Babson College. His research and teaching interests focus on e-business, global marketing, value-based marketing strategies, and understanding the voice of the customer (market research). He is also co-editor of theJournal of Retailing. He has published more than 50 articles in outlets such as theJournal of Marketing, theJournal of Consumer Research, theJournal of Marketing Research, and theJournal of Retailing. He currently serves on the editorial review boards of theJournal of Marketing, theJournal of Retailing, theJournal of Public Policy & Marketing, and theJournal of Product and Brand Management.     

The role of affect in attitude formation: A classical conditioning approach

This study investigates the role of affect in attitude formation. Two experiments, using established conditioning procedures, assessed the impact of affect on attitude formation. The results of Experiment 1 indicate that affect can influence attitudes even in the absence of product beliefs. The results of Experiment 2 suggest that affect plays as important or more important a role than the belief mechanism in attitude formation, depending on the number of repetitions. Implications of the results for understanding the role of affect in advertising are discussed. John Kim is an associate professor of marketing in the School of Business Administration at Oakland University. He earned his Ph.D. in marketing from the University of Cincinnati. His research interests include consumer decision making, advertising effectiveness, and brand equity. His work has appeared in theJournal of Marketing Research, theJournal of Consumer Research, and theJournal of Business Research. Jeen-Su Lim is Interim Chair and a professor of marketing at the University of Toledo. He received his Ph.D. in marketing from Indiana University. His work has appeared in many journals, including theJournal of Marketing Research, theJournal of Consumer Research, theJournal of Business Research, Industrial Marketing Management, International Marketing Review, Management International Review, Psychology and Marketing, and theJournal of Health Care Marketing, among others. His research interests include consumer inference processes, new product development and competitive strategy, and export marketing. Mukesh Bhargava is an assistant professor in the Department of Marketing and Management at Oakland University. He has a Ph.D. in marketing from the University of Texas, Austin, and several years of practical experience in advertising and marketing research. His research includes areas such as advertising effectiveness and evaluation of marketing strategy in business and nonprofit organizations. His work has appeared in theJournal of Advertising Research, Marketing Letters, theJournal of Business Research, and theJournal of the Academy of Marketing Science, among others.     

Information content and consumer readership of print ads: A comparison of search and experience products

This study builds on past research involving the economics of advertising information (Nelson 1970, 1974) to examine the interplay between advertisers' provision and consumers' readership of information. The authors focus on the prepurchase verifiability of advertising claims in three product categories: search products, experience shopping products, and experience convenience products. They use a broader measure of the information content of advertising than in past research, together with Starch readership scores for a sample of ads from nine U.S. magazines. The results show that the relationship between information provision and readership is positive for search products, negative for convenience products, and nonsignificant for shopping products. Average information levels are significantly higher in ads for shopping products than for convenience and search products. These findings suggest that advertisers may be underinforming consumers when promoting search products. George R. Franke (gfranke@cba.ua.edu) is a professor and Reese Phifer Fellow of Marketing at the University of Alabama. His Ph.D. is from the University of North Carolina. His research interests include public policy, ethics, advertising, and research methodology. His previous research on the information content of advertising includes articles that received best-paper awards from theJournal of Advertising and theJournal of Public Policy & Marketing. Bruce A. Huhmann (bhuhmann@nmsu.edu) is an assistant professor of marketing at New Mexico State University. His Ph.D. is from the University of Alabama. His research interests include advertising, consumer behavior, and international marketing. His primary stream of research focuses on verbal and visual appeals in advertising. He has also coauthored a study on sources of information used in consumer decision making. He has published articles in theJournal of Consumer Research, theJournal of Advertising, theJournal of Health Care Marketing, theAsia Pacific Journal of Management, and in other journals and conference proceedings. David L. Mothersbaugh (dmothers@cba.ua.edu) is an associate professor and Board of Visitors Research Fellow in marketing at the University of Alabama. His Ph.D. is from the University of Pittsburgh. His research interests include advertising, rhetorical language, consumer knowledge, search and decision making, e-commerce, and services marketing. He has publications in journals such as theJournal of Consumer Research, theJournal of Retailing, theJournal of Business Research, and theJournal of Consumer Affairs, as well as in various conference proceedings.     

The role of relationship quality in the stratification of vendors as perceived by customers

Companies implement preferred supplier programs to reduce their vendor relationships to a reasonable few. Consequently, vendors who do not effectively manage their customer-based relationships are strong candidates for deletion from a customer’s list of long-term suppliers. The emergence of preferred supplier programs suggests that businesses are beginning to formally recognize and reward differences between their qualified vendors. Vendor stratification is proposed as a framework for understanding the evolution of preferred vendor programs. With the growing interest in relationship marketing, a study was conducted to empirically examine the extent to which businesses use relationship quality perceptions to differentiate their qualified vendors. The findings support the notion that relationship quality is a higher-order construct that can be used as a basis for developing vendor stratification systems. The article concludes with a discussion of the managerial and research implications of the study findings. Michael J. Dorsch (Ph.D., University of Arkansas) is an associate professor of marketing at Clemson University. His research has been published in theJournal of the Academy of Marketing Science, theJournal of Business Research, and theJournal of Personal Selling and Sales Management, among others. His research interests include issues concerning relationship marketing and marketing research methods. Scott R. Swanson (Ph.D., University of Kentucky) is an assistant professor of marketing at East Carolina University. He previously spent 9 years as a purchasing executive and his research interets include issues related to services marketing, atmospherics, and marketing ethics. His research has been published in theJournal of Business to Business Marketing, theInternational Journal of Quality and Reliability Management, AMA Educators’ Proceedings, andRetailing: Theories and Practices for Today and Tomorrow. Scott W. Kelley (D.B.A., University of Kentucky) is an associate professor of marketing. His research has been published in theJournal of the Academy of Marketing Science, theJournal of Retailing, theJournal of Business Research, theJournal of Advertising, and theJournal of Personal Selling and Sales Management, among others. His research interests include issues concerning services marketing and marketing ethics.     

Trademark dilution and the practice of marketing

This article considers the marketing implications of the Federal Trademark Dilution Act (FTDA) of 1995. The FTDA, an amendment to the Lanham Act, will influence the manner in which marketing is practiced well into the twenty-first century. Although the FTDA is specifically concerned with protecting famous trademarks from being diluted—either by having their distinctiveness diminished or positive associations tarnished—by similar trademarks, its influence will not be limited to trademark or branding issues. Implications range from the allocation of advertising resources to the increased use of marketing research. Robert A. Peterson holds the John T. Stuart III Centennial Chair in Business Administration and the Charles E. Hurwitz Fellowship, both at The University of Texas at Austin. His Ph.D. is from the University of Minnesota. Dr. Peterson’s publications have appeared in such journals as theJournal of the Academy of Marketing Science, Journal of Marketing, Journal of Marketing Research, Journal of Consumer Research, andMarketing Science. His research interests range from Internet marketing to research methodology to marketing strategy. He presently serves on the boards of several for-profit and not-for-profit organizations as well as an advisory committee to the Bureau of the Census. Karen H. Smith is an assistant professor at Southwest Texas State University. Her Ph.D. is from The University of Texas at Austin. Dr. Smith’s research interests include consumer information processing, consumer knowledge structures (schemata), dilution of brand equity, and adolescent smoking. Her research has been published in theJournal of Consumer Research, Journal of Marketing Education, andAdvances in Consumer Research. Philip C. Zerrillo is executive MBA director at The University of Texas at Austin. His Ph.D. is from Northwestern University. Dr. Zerrillo’s research interests have focused on broad-based business innovation, strategic development of distribution channel arrangements, the value of brands in the distribution channel, managing brands as assets, and the legal aspects of branding and channel decisions. His most recent research on antitrust regulation appeared in theJournal of Corporation Law, a University of Iowa law review.     

Why don’t some people complain? A cognitive-emotive process model of consumer complaint behavior

This article reports the development of a theoretical model of consumer complaint behavior by using cognitive appraisal theory as its foundation. Because of its importance to management and lack of attention in the marketing literature, specific emphasis is placed on the phenomenon of noncomplaining and the role of consumer emotion in dissatisfying marketplace experiences. The model presents cognitive appraisal as the key element in the evaluation of consumer threat and harm, which subsequently may result in psychological stress. Stressful appraisal outcomes are suggested to elicit emotive reactions that, in conjunction with cognitive appraisal, influence the type of coping strategy used by the consumer. Three coping strategies (problem focused, emotion focused, and avoidance) are identified and discussed. Key propositions are illustrated by using in-depth interview data from a sample of older female consumers. Nancy Stephens is an associate professor of marketing at Arizona State University. She has published a variety of studies on consumer behavior, services marketing, and marketing communications issues in such publications as theJournal of Marketing Research, theJournal of Advertising Research, theJournal of Advertising, and theJournal of Services Marketing, as well as many conference proceedings. Kevin P. Gwinner is an assistant professor of marketing in the School of Business at East Carolina University, North Carolina. His research interests include performance issues of customer-contact service employees, consumer complaint behaviors, and corporate sponsorship issues. His research has been published in theJournal of the Academy of Marketing Science, theInternational Journal of Service Industry Management, International Marketing Review, and theJournal of Marketing Education.