The role of consumer perceived fit in brand extension acceptability. J Evangeline and V R Rag
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TextPublication details: Hydrabad I UP Publication March 2016Description: 43 - 57 p. PaperSubject(s):
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MURTHY, E N BRAND MANAGEMENT
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Brand extension forms an important part of marketing strategy for many companies. Brand extension
reduces the risk of launching a new brand in the marketplace by leveraging on familiarity and consumer
acceptance of an established brand. This study empirically examines the significance of ‘perceived fit’ in
deciding ‘Consumer Acceptability of Brand Extension’ (CAOBE) in relation to ‘Kist’ brand, through the
measurement of ‘product category fit’ and ‘brand level fit’ that cover the fit construct. Data has been
collected from a convenience sample of 200 ‘Kist’ brand consumers through a closed-ended questionnaire
in Manmunai North Divisional Secretariat Area, Batticaloa, Sri Lanka. The data has been analyzed and
evaluated through univariate and bivariate techniques. Regression analysis has been used for testing the
hypothesis. The results reveal that the target consumers perceive high level of fit between the parent brand
and its extensions, and that the extensions achieve a high level of consumer acceptance. Regression analysis
also indicates the successful role of consumer perceived fit in deciding brand extension success
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