Brand extensions allow consumers to use past experiences with the brand in order to assess the extension and thereby reduce the risk associated with purchasing a new product. In considering the ability of a brand to mitigate the risk associated with an extension (a construct herein referred to...

Purpose – The purpose of this paper is to investigate whether the negative effect of lower prices on perceived brand quality that has been demonstrated in evaluation tasks arises in a brand choice context. Design/methodology/approach – The effects of lower prices on perceived quality are...

Purpose Multi-unit discounts (MUDs, e.g. “3 for $4”) typically increase sales relative to other discounting frames. This study demonstrates the value of MUDs by showing that positive multi-unit price/quantity signals are potent enough to match and even exceed the sales produced by larger...