| Summary: | 碩士 === 中國文化大學 === 國際企業管理研究所 === 94 === This study explores the effect of abundance of business resources on brand extension performance. Through the viewpoint of customers and the competing values approach, this study discusses the business culture might change the relationship between them. It means, the phenomenon of the bigger corporation the better operation performance might not be hold any more in the valuation of brand extension strategy.
This data is collected by 293 valid questionnaires through convenience sampling, and the retrieve rate is 91.56%. The result supports the abundance of business resources will improve brand extension performance, and business culture will affect the relationship between them. Comparing the business with abundant resources operating in an elastically innovative and purpose-oriented way and the ones operating in an elastically innovative but process-oriented way, the latter ones would have better brand extension performance. Under this condition, the business with abundant resources might have worse brand extension performance than those with rare resources.
Through segmentation of customers’ degree of product involvement and perceived fit, this study helps forecast the acceptance of extended products in the market and understand how to prevent cannibalization or dilution effect. To have better brand extension performance, this study suggests business to set a special group to implement the strategy, and to cooperate with suppliers or the companies in different industries as well, so as to enforce the differentiation strategy or low cost strategy.
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