Multiple brand alliances: a portfolio diversification perspective

摘要

Purpose - The paper attempts to examine the effect of multiple brand alliances using a portfolio diversification approach.rnDesign/methodology/approach - The paper reports the findings of a four-level, single factor design study in which 149 randomly assignedrnparticipants were exposed to a product concept description for a new product in conjunction with: no ally (control), one ally, three homogeneous allies,rnand three heterogeneous allies.rnFindings - Results support previous findings in the literature with regard to the effect of a single brand alliance. However, no support was found forrnthe proposition that consumer evaluations of an unknown focal brand, when three well-known heterogeneous allies are present, will be higher thanrnwhen either one well-known ally is present or three well-known homogeneous allies are present.rnResearch limitations/implications - Consistent with previous published research and despite diversifying the brand allies; it is impossible tornconclude that multiple brand allies provide increased evaluations, relative to a single ally, for a previously unknown brand. More research is necessaryrnregarding when and why multiple allies might be beneficial.rnOriginality/value - As the use of multiple brand alliances proliferates in the marketplace, it is important to understand the effect of such strategies onrnconsumers' evaluations. The paper contributes to this growing body of research by investigating the effect of multiple brand alliances using a portfoliorndiversification approach.