Working paper
HOW MUCH DO PRODUCT DIFFERENTIATION, MARKETING INVESTMENTS AND BRAND EQUITY ACTUALLY AFFECT PRICE? AN EMPIRICAL STUDY IN THE CONSUMER MARKET
Davcik, Nebojsa (Davcik, N.);
Título Documento
SSRN
Ano (publicação definitiva)
2013
Língua
Inglês
País
Estados Unidos da América
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Abstract/Resumo
Academics have been researching brand equity, return on investment and effects of NPD for many years but there has been little work that has taken a holistic view. This paper shows the effect of brand equity, marketing investment and product differentiation on price in small and medium enterprises (SME), multinational companies (MNC) and retailers (private labels). The author studied an aggregate data set for 735 fast moving consumer goods (FMCG) brands, taken from Nielsen (10,282 households). The study suggests that brand equity, marketing investment and product differentiation are closely associated with price. Using a cluster analysis, the author found that, in terms of brand strategy, the premium price is significantly associated with innovation and company type. Rather than employing the more common single-research and mono-company approach and measurement, this study utilizes a multiresearch approach in order to provide a more insightful and informative contribution to theory and practice. The managerial implications of the models presented, estimated by regression analysis, are discussed as well as the results of the cluster analysis and possible research enhancements
Agradecimentos/Acknowledgements
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Palavras-chave
brand equity, cluster analysis, multivariate analysis, price