Please use this identifier to cite or link to this item: http://hdl.handle.net/10397/80101
Title: Fashion brand purity and firm performance
Authors: Zheng JH 
Cao, Z
Dai, X
Chiu, CH
Issue Date: 2013
Publisher: Hindawi Publishing Corporation
Source: Mathematical problems in engineering, 2013, v. 2013, 363095, p. 1-18 How to cite?
Journal: Mathematical problems in engineering 
Abstract: A large number of prior empirical research and case studies used qualitative methodology to discuss the fashion brand dilution resulting from consumer base extension from the target group(s) to the nontarget groups and its impacts. From a different perspective, this paper establishes a dynamic brand dilution and performance model, demonstrating how dynamic changes of sales volumes involving the two consumer groups affect the degree of brand dilution and the performance of the brand. We incorporate the factor "brand purity" to the model as a quantitative measure of brand dilution level that affects firm annual revenue and profit change comprehensively in iteration. Our model suggests that fashion brands, especially luxury brands, can be easily diluted under the pressure of firm growth, and the brands suffer the significant negative impact on their revenues and profit. While increasing sales volume can aggravate the negative consequences, brand purity can be increased through limiting the consumer base to the target group only.
URI: http://hdl.handle.net/10397/80101
ISSN: 1024-123X
EISSN: 1563-5147
DOI: 10.1155/2013/363095
Rights: Copyright © 2013 Jin-hui Zheng et al.This is an open access article distributed under the Creative Commons Attribution License (https://creativecommons.org/licenses/by/3.0/), which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
The following publication Zheng, J. -., Cao, Z., Dai, X., & Chiu, C. -. (2013). Fashion brand purity and firm performance. Mathematical Problems in Engineering, 2013, 363095, 1-18 is available at https://dx.doi.org/10.1155/2013/363095
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