The Research on Brand Extension Strategies: Logitech as An Example

• Main Authors: Anderson Ho, 何俊概
• Other Authors: Po-Young Chu
• Format: Others
• Language: zh-TW
• Published: 2007
• Online Access: http://ndltd.ncl.edu.tw/handle/55105316060116873909

碩士 === 國立交通大學 === 管理學院碩士在職專班管理科學組 === 95 === Abstract In the highly competitive market, how does a company sustain its core competency and keep driving revenue and profit? Most companies not only focus on existing valuable product lines, but also apply brand extension strategy or acquire new business to enlarge their scale. Brand is the firm’s image, awareness and experience of consumers, and also represents a commitment from the provider. Understanding consumer behavior and characteristics, is the first step when a firm decides to implement brand extention strategy. A company then could evaluate which extension strategies are appropriate with less risk. This study aims to explore how the parent brand attitude and consumer characteristics affect brand extension? Logitech, a Swiss company which is the world leader in the design, manufacturer, and marketing of variety of personal peripheral and interface products for personal computers and digital platforms, is selected for this study. The attributes of the attitude toward Logitech include Brand Image, Brand Loyalty, Brand Awareness and Quality Awareness are associated with the customer evaluation on fitness of product line extension. The product line extension is examined from Transfer, Substitute, Complement and Difficult various dimensions. Finally, we present the possible ways of Logitech brand extension. The major conclusions of this study are as below: 1.Subjects show high regards toward Logitech products. Trust, Quality, Innovation characterize the product evaluation of Logitech. 2.The order of fitness regarding product line extension obtained from our survey suggests that the most appropriate product line extensions are ones with the nature of Transfer, followed by Substitute, Complement and Difficult. 3.Brand attitude has significant impacts on Brand extension of products characterized with the nature of Transfer & Substitute, but not with the nature of Complement & Difficult. 4.Female and young groups like to adopt new extended product. The attributes of education, location, and occupation have no significant influence on brand extension.