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The brand management system and service firm competitiveness

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  • Santos-Vijande, María Leticia
  • del Río-Lanza, Ana Belén
  • Suárez-Álvarez, Leticia
  • Díaz-Martín, Ana María
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    Abstract

    Despite the growing body of literature acknowledging that strong brands are crucial for firms' long-term competitiveness, little research examines how firms should manage their brands internally to maximize their value and the firm's commercial performance. On the basis of the brand management system (BMS) that Kim and Lee (2007) and Lee, Park, Baek, and Lee (2008) describe, the current research extends these authors' work and develops a multidimensional BMS scale comprising three dimensions: brand orientation, internal branding, and strategic brand management. The BMS represents the basic internal management infrastructure necessary to sustain brand-building activities and brand equity creation. The study also conceptualizes the BMS as a dynamic capability that constitutes a potential route to acquiring a sustainable competitive advantage. The data from a sample of 151 knowledge-intensive business services firms show that the BMS effectively helps firms to perform better than their competitors and that market orientation and innovativeness are key antecedents for the development of the system. These results contribute to the scarce literature on managing brands in business services.

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    Bibliographic Info

    Article provided by Elsevier in its journal Journal of Business Research.

    Volume (Year): 66 (2013)
    Issue (Month): 2 ()
    Pages: 148-157

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    Handle: RePEc:eee:jbrese:v:66:y:2013:i:2:p:148-157

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    Web page: http://www.elsevier.com/locate/jbusres

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    Keywords: Brand management system; Market orientation; Innovativeness; Business-to-business branding;

    References

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    1. Ratnatunga, Janek & Ewing, Michael T., 2009. "An ex-ante approach to brand capability valuation," Journal of Business Research, Elsevier, vol. 62(3), pages 323-331, March.
    2. Chien-Huang Lin & Ching-Huai Peng & Danny T. Kao, 2008. "The innovativeness effect of market orientation and learning orientation on business performance," International Journal of Manpower, Emerald Group Publishing, vol. 29(8), pages 752-772, November.
    3. Coltman, Tim & Devinney, Timothy M. & Midgley, David F. & Venaik, Sunil, 2008. "Formative versus reflective measurement models: Two applications of formative measurement," Journal of Business Research, Elsevier, vol. 61(12), pages 1250-1262, December.
    4. Hooley, Graham J. & Greenley, Gordon E. & Cadogan, John W. & Fahy, John, 2005. "The performance impact of marketing resources," Journal of Business Research, Elsevier, vol. 58(1), pages 18-27, January.
    5. Lings, Ian N., 2004. "Internal market orientation: Construct and consequences," Journal of Business Research, Elsevier, vol. 57(4), pages 405-413, April.
    6. Weerawardena, Jay & O'Cass, Aron & Julian, Craig, 2006. "Does industry matter? Examining the role of industry structure and organizational learning in innovation and brand performance," Journal of Business Research, Elsevier, vol. 59(1), pages 37-45, January.
    7. Jarvis, Cheryl Burke & MacKenzie, Scott B & Podsakoff, Philip M, 2003. " A Critical Review of Construct Indicators and Measurement Model Misspecification in Marketing and Consumer Research," Journal of Consumer Research, University of Chicago Press, vol. 30(2), pages 199-218, September.
    8. Brodie, Roderick J. & Whittome, James R.M. & Brush, Gregory J., 2009. "Investigating the service brand: A customer value perspective," Journal of Business Research, Elsevier, vol. 62(3), pages 345-355, March.
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