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Modeling The Effect Of Belief Revisions On The Success Of Co-Branding


  • Chia-Lin LEE
  • Reinhold DECKER


This paper provides a normative guideline regarding the successful formation of co-branding alliances for both academic researchers and practitioners. We use the expectancy-value model to quantify the mechanism of belief revision in co-branding. Starting from this, an existing mathematical model is adapted in order to investigate (1) the influence of belief revisions on the necessary condition of a successful co-branding alliance (i.e., a sufficient amount of required expansion for the partnering brands) and (2) the existence of an ideal situation that ensures the success. The resulting propositions show that belief revisions can affect a brand�s intention with respect to a co-branding partnership. A simulation study demonstrates that an ideal situation exists when the partnering brands are similar in the magnitude of customers� belief revision, brand reputation, and customer loyalty. The present paper advances existing knowledge by relating the success of co-branding partnerships to consumer evaluations. Managerial implications and future research directions are also discussed.

Suggested Citation

  • Chia-Lin LEE & Reinhold DECKER, 2009. "Modeling The Effect Of Belief Revisions On The Success Of Co-Branding," Journal of Applied Economic Sciences, Spiru Haret University, Faculty of Financial Management and Accounting Craiova, vol. 4(2(8)_ Sum).
  • Handle: RePEc:ush:jaessh:v:4:y:2009:i:2(8)_summer2009:62

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    References listed on IDEAS

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