IDEAS home Printed from https://ideas.repec.org/a/kap/mktlet/v36y2025i3d10.1007_s11002-025-09774-6.html
   My bibliography  Save this article

Upward vs. downward extensions: How social dominance orientation-egalitarianism moderates brand evaluation

Author

Listed:
  • Ya-Hui Kuo

    (Institute of International Business, National Cheng Kung University)

  • Yu-Xian Liao

    (Institute of International Business, National Cheng Kung University)

Abstract

Despite the widespread use of vertical brand extensions, research on how consumers evaluate parent and extension brands remains limited, particularly regarding the influence of consumer characteristics. Grounded in Keller’s brand knowledge model and informed by signal theory, this study examines consumer evaluations of vertical brand extensions and explores the moderating role of Social Dominance Orientation–Egalitarianism (SDO-E), which reflects preferences for unequal social structures. Vertical extensions may serve as implicit signals of brand competence, quality, and status. Data from 326 Taiwanese consumers reveal a negative reciprocal effect, as attitudes toward the parent brand decline following vertical extensions, regardless of direction, and a stronger transfer effect, with consumers generally preferring downward extensions. Findings further demonstrate that SDO-E moderates both effects. Individuals with high SDO-E experience a smaller decline in attitudes toward upward extensions and a greater decline in downward extensions. The preference for downward extensions is stronger among those with high SDO-E. This study advances the understanding of vertical brand extensions and offers managerial insights for marketers.

Suggested Citation

  • Ya-Hui Kuo & Yu-Xian Liao, 2025. "Upward vs. downward extensions: How social dominance orientation-egalitarianism moderates brand evaluation," Marketing Letters, Springer, vol. 36(3), pages 501-517, September.
    • Handle: RePEc:kap:mktlet:v:36:y:2025:i:3:d:10.1007_s11002-025-09774-6
    DOI: 10.1007/s11002-025-09774-6
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s11002-025-09774-6
    File Function: Abstract
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1007/s11002-025-09774-6?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to

    for a different version of it.

    References listed on IDEAS

    as
    1. Gohary, Ali & Madani, Fatima & Chan, Eugene Y. & Tavallaei, Stella, 2023. "Political ideology and fair-trade consumption: A social dominance orientation perspective," Journal of Business Research, Elsevier, vol. 156(C).
    2. Eric Tafani & Géraldine Michel & Emmanuelle Rosa, 2009. "Vertical Product Line Extension Strategies: An Evaluation of Brand Halo Effect according to Range Level," Post-Print hal-01796252, HAL.
    3. Timothy B. Heath & Devon Delvecchio & Michael S. Mccarthy, 2011. "The Asymmetric Effects of Extending Brands to Lower and Higher Quality," Post-Print hal-00668763, HAL.
    4. Fournier, Susan, 1998. "Consumers and Their Brands: Developing Relationship Theory in Consumer Research," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 24(4), pages 343-373, March.
    5. Andrew D. Gershoff & Ran Kivetz & Anat Keinan, 2012. "Consumer Response to Versioning: How Brands' Production Methods Affect Perceptions of Unfairness," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 39(2), pages 382-398.
    6. Huifang Mao & Babu John Mariadoss & Raj Echambadi & Pavan Chennamaneni, 2012. "Brand extensions via complements or substitutes: The moderating role of manufacturing transferability," Marketing Letters, Springer, vol. 23(1), pages 279-292, March.
    7. Eric Tafani & Géraldine Michel & Emmanuelle Rosa, 2009. "Vertical Product Line Extension Strategies: An Evaluation of Brand Halo Effect according to Range Level," Post-Print hal-02051232, HAL.
    8. Dall'Olmo Riley, Francesca & Pina, José M. & Bravo, Rafael, 2013. "Downscale extensions: Consumer evaluation and feedback effects," Journal of Business Research, Elsevier, vol. 66(2), pages 196-206.
    9. Kim, Chung K. & Lavack, Anne M. & Smith, Margo, 2001. "Consumer evaluation of vertical brand extensions and core brands," Journal of Business Research, Elsevier, vol. 52(3), pages 211-222, June.
    10. Lei, Jing & de Ruyter, Ko & Wetzels, Martin, 2008. "Consumer Responses to Vertical Service Line Extensions," Journal of Retailing, Elsevier, vol. 84(3), pages 268-280.
    11. Pontes, Nicolas & Palmeira, Mauricio & Jevons, Colin, 2017. "Brand expertise and perceived consistency reversals on vertical line extensions: The moderating role of extension direction," Journal of Retailing and Consumer Services, Elsevier, vol. 34(C), pages 209-218.
    12. Sheinin, Daniel A. & Schmitt, Bernd H., 1994. "Extending brands with new product concepts: The role of category attribute congruity, brand affect, and brand breadth," Journal of Business Research, Elsevier, vol. 31(1), pages 1-10, September.
    13. Michael Spence, 1973. "Job Market Signaling," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 87(3), pages 355-374.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Dall'Olmo Riley, Francesca & Pina, José M. & Bravo, Rafael, 2013. "Downscale extensions: Consumer evaluation and feedback effects," Journal of Business Research, Elsevier, vol. 66(2), pages 196-206.
    2. Pontes, Nicolas & Palmeira, Mauricio & Jevons, Colin, 2017. "Brand expertise and perceived consistency reversals on vertical line extensions: The moderating role of extension direction," Journal of Retailing and Consumer Services, Elsevier, vol. 34(C), pages 209-218.
    3. He, Yue & Mo, Zan & Wan, Xiuqi & Li, Mengyin & Fu, Huijian, 2023. "Who will embrace upward line extension? The role of power distance belief," Journal of Retailing and Consumer Services, Elsevier, vol. 75(C).
    4. F. Magnoni & E. Roux & Pierre Valette-Florence, 2011. "The impact of step-down line extension on consumer-brand relationships: A risky strategy for luxury brands," Post-Print halshs-00660296, HAL.
    5. Hultman, Magnus & Papadopoulou, Christina & Oghazi, Pejvak & Opoku, Robert, 2021. "Branding the hotel industry: The effect of step-up versus step-down brand extensions," Journal of Business Research, Elsevier, vol. 124(C), pages 560-570.
    6. Cho, Jihoon & Janda, Swinder, 2023. "Reciprocity in upward product line extensions: A longitudinal study," Journal of Retailing and Consumer Services, Elsevier, vol. 70(C).
    7. F. Magnoni & Elyette Roux, 2011. "Stretching a luxury brand down: An experimental study of core brand dilution effects," Post-Print halshs-00644899, HAL.
    8. Anwar Sadat Shimul, 2022. "Brand attachment: a review and future research," Journal of Brand Management, Palgrave Macmillan, vol. 29(4), pages 400-419, July.
    9. Minsun Kim & Chun-Hung Tang & Wesley S. Roehl, 2018. "The effect of hotel’s dual-branding on willingness-to-pay and booking intention: a luxury/upper-upscale combination," Journal of Revenue and Pricing Management, Palgrave Macmillan, vol. 17(4), pages 256-275, August.
    10. Kevin Lane Keller, 2016. "Reflections on customer-based brand equity: perspectives, progress, and priorities," AMS Review, Springer;Academy of Marketing Science, vol. 6(1), pages 1-16, June.
    11. Aronson, Olivia & Hanson, Sara & LaFont, Matthew, 2025. "Innovative organizations’ CSR signaling: Consumer perceptions, expectations, and outcomes," Journal of Business Research, Elsevier, vol. 186(C).
    12. Quamina, La Toya & Xue, Melanie Tao & Chawdhary, Rahul, 2023. "‘Co-branding as a masstige strategy for luxury brands: Desirable or not?," Journal of Business Research, Elsevier, vol. 158(C).
    13. Elif Akagun Ergin & Nilay Sahin, 2015. "Consumers? Attitudes Towards Brand Extensions: An Analysis On Food And Textile Industries In Turkey," Proceedings of International Academic Conferences 1003145, International Institute of Social and Economic Sciences.
    14. Muhammad Hassan & Muhammad Rizwan, 2016. "Corporate Governance Under Multi- Theoretical Perspective," IBT Journal of Business Studies (JBS), Ilma University, Faculty of Management Science, vol. 12(1), pages 12-15.
    15. Pourazad, Naser & Stocchi, Lara & Pare, Vipul, 2019. "Brand attribute associations, emotional consumer-brand relationship and evaluation of brand extensions," Australasian marketing journal, Elsevier, vol. 27(4), pages 249-260.
    16. Martínez Salinas, Eva & Pina Pérez, José Miguel, 2009. "Modeling the brand extensions' influence on brand image," Journal of Business Research, Elsevier, vol. 62(1), pages 50-60, January.
    17. Chaney, Damien, 2019. "A principal–agent perspective on consumer co-production: Crowdfunding and the redefinition of consumer power," Technological Forecasting and Social Change, Elsevier, vol. 141(C), pages 74-84.
    18. Kevin Lane Keller & Donald R. Lehmann, 2006. "Brands and Branding: Research Findings and Future Priorities," Marketing Science, INFORMS, vol. 25(6), pages 740-759, 11-12.
    19. Yasir Ali Soomro & Muzzaffar Ali Issani & Shahzad Nasim, 2016. "Consumer Perceived Brand Concept & Close Brand Extension: A Multi-Mediation Model Analysis," IBT Journal of Business Studies (JBS), Ilma University, Faculty of Management Science, vol. 12(1), pages 347-359.
    20. Boisvert, Jean & Christodoulides, George & Sajid Khan, M., 2023. "Toward a better understanding of key determinants and consequences of masstige consumption," Journal of Business Research, Elsevier, vol. 161(C).

    More about this item

    Keywords

    ;
    ;
    ;
    ;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:kap:mktlet:v:36:y:2025:i:3:d:10.1007_s11002-025-09774-6. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.