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What if something unexpected happens to my brand? Spillover effects from positive and negative events in a co‐branding partnership
Author(s) -
KoschateFischer Nicole,
Hoyer Wayne D.,
Wolframm Christiane
Publication year - 2019
Publication title -
psychology and marketing
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.035
H-Index - 116
eISSN - 1520-6793
pISSN - 0742-6046
DOI - 10.1002/mar.21210
Subject(s) - spillover effect , attribution , general partnership , affect (linguistics) , brand equity , advertising , psychology , event (particle physics) , business , social psychology , marketing , economics , microeconomics , physics , communication , finance , quantum mechanics
Brands sometimes enter into co‐branding agreements and major events can occur to one of the brands which can have either negative or positive consequences for the brands involved in the partnership. The current study investigates as yet unanswered research questions regarding whether and how positive and negative events happening to one brand in a co‐branding partnership affect the brand equities of the other brands in the partnership. The authors provide and test a new integrated attribution‐diagnosticity framework to explain the process that underlies the magnitude of these spillover effects. Findings show that while positive and negative event‐related spillover effects occur between the co‐brand and both parent brands, they were surprisingly absent between the parent brands. Further, the (a)symmetry of parent brand equity before the event influences the magnitude of event‐related spillover the parent brands receive from the co‐brand. Theoretical and practical implications of these findings are discussed.