| Summary: | 碩士 === 銘傳大學 === 觀光事業學系碩士班 === 104 === This research investigates the underdog effect under a new competitive framework: newbie brand against existing brand. Based on relevant literature, this research proposes that consumer will prefer a newbie brand while they are aware of the direct competition between newbie and existing brands. Therefore, the underdog effect should be observed. This effect happens because consumers have lower fairness perception in the newbie-against-existing situation. Moreover, the author also argues that this underdog effect will be moderated by consumer’s personal power distance belief. Low-power-distance consumers exhibit strong underdog effect. However, for consumers with high power distance belief, this underdog effect is eliminated. Three experiments provide empirical evidences supporting the author’s hypotheses. Theoretical and practical implications are provided.
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