Evaluating the Brand Extension Decision Using a Model of Reputation Building

Can a brand′s reputation be transferred successfully to other products? What is the importance of a firm′s reputation to the success or failure of its brands? What is the effect on the firm′s brands when a firm′s reputation, through either acquisition or restructuring, decays. How important is it for a firm to maintain or enhance its reputation? Describe a model of reputation creation and destruction and shows how the brand extension decision can be addressed using the model.

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