RESEARCH THEORY QUESTION :) Introduction to the study: The purpose of this research is to study the effects of brand con
Posted: Thu Apr 28, 2022 2:19 pm
RESEARCH THEORY QUESTION 
Introduction to the study:
The purpose of this research is to study the effects of brand
consolidation of three brands of large kitchen appliances and
rebranding on brand equity and consumer attitudes. The study will
inform the new business strategy of “The Building Company” in the
South African building retail industry. The Building Company, a
South African building materials retail operation, is the Southern
African operations building material division of Magic Homes. The
company’s retail activities extend to 205 outlets throughout
Africa, located in major centres in South Africa, Namibia, and
Zimbabwe, and are managed as either corporate, joint venture or
franchise stores (The Buiding Company, 2019).
In order to be more competitive, the executive team at The
Building Company are interested in finding out more about the
category and its dynamics, how these kitchen brands are faring in
the building materials retail market and where the potential
opportunities lie. A decision to consolidate these businesses into
a single brand and operate under a new brand name was discussed at
board level (Gounden, 2019).
Rebranding is the introduction of a new brand name, symbol,
term, design or a combination of them for a brand that is already
established with the intention of creating a new, differentiated
position in the mind of competitors and key stakeholders (Lambkin,
2006). Rebranding usually results from a shift in business strategy
(Bhammar, 2008) which is evident in the thinking of the executive
team’s business strategy. A portfolio of brands can involve risk if
they fail to emphasise one clear message; however, rebranding to a
single brand can also carry risk if it fails to resonate with
customers or is not strategically appropriate (Bhammar, 2008).
Muzellec and Lambkin (2014) question the need for rebranding as
it nullifies all the years of work put into building brand equity.
Brand equity is a market based intangible
asset that can be leveraged to rally the performance of an
organisation. Brand equity is best described by Aaker (1996) as a
set of assets and liabilities linked to a brands
name and symbol that adds to or subtracts from the value provided
by a product or service to a company and that company’s
customers.
The research is expected to contribute to the understanding of
consumer behaviour and consumer attitude towards rebranding and its
effect on brand equity.
Research Question 1 (derived from the case study
above): What does The Building Company have to take into
account to implement the rebranding strategy?
Research Question 2 (derived from the case study
above): How does the concept of Brand Equity shift when
brand consolidation and rebranding take place?
Given the above introduction to the study above, answer the
following questions:
2.1 Discuss which aspects make it a business-oriented consulting
study and which
aspects make it an academic case study. (10)
2.2 Assuming the study is taking a quantitative approach, construct
a short
questionnaire with at least five (5) questions, to gather relevant
data. (15)
2.3 Assuming the study is taking a qualitative approach, construct
a short interview
guide, containing at least five (5) questions, to gather relevant
data. (15)
Introduction to the study:
The purpose of this research is to study the effects of brand
consolidation of three brands of large kitchen appliances and
rebranding on brand equity and consumer attitudes. The study will
inform the new business strategy of “The Building Company” in the
South African building retail industry. The Building Company, a
South African building materials retail operation, is the Southern
African operations building material division of Magic Homes. The
company’s retail activities extend to 205 outlets throughout
Africa, located in major centres in South Africa, Namibia, and
Zimbabwe, and are managed as either corporate, joint venture or
franchise stores (The Buiding Company, 2019).
In order to be more competitive, the executive team at The
Building Company are interested in finding out more about the
category and its dynamics, how these kitchen brands are faring in
the building materials retail market and where the potential
opportunities lie. A decision to consolidate these businesses into
a single brand and operate under a new brand name was discussed at
board level (Gounden, 2019).
Rebranding is the introduction of a new brand name, symbol,
term, design or a combination of them for a brand that is already
established with the intention of creating a new, differentiated
position in the mind of competitors and key stakeholders (Lambkin,
2006). Rebranding usually results from a shift in business strategy
(Bhammar, 2008) which is evident in the thinking of the executive
team’s business strategy. A portfolio of brands can involve risk if
they fail to emphasise one clear message; however, rebranding to a
single brand can also carry risk if it fails to resonate with
customers or is not strategically appropriate (Bhammar, 2008).
Muzellec and Lambkin (2014) question the need for rebranding as
it nullifies all the years of work put into building brand equity.
Brand equity is a market based intangible
asset that can be leveraged to rally the performance of an
organisation. Brand equity is best described by Aaker (1996) as a
set of assets and liabilities linked to a brands
name and symbol that adds to or subtracts from the value provided
by a product or service to a company and that company’s
customers.
The research is expected to contribute to the understanding of
consumer behaviour and consumer attitude towards rebranding and its
effect on brand equity.
Research Question 1 (derived from the case study
above): What does The Building Company have to take into
account to implement the rebranding strategy?
Research Question 2 (derived from the case study
above): How does the concept of Brand Equity shift when
brand consolidation and rebranding take place?
Given the above introduction to the study above, answer the
following questions:
2.1 Discuss which aspects make it a business-oriented consulting
study and which
aspects make it an academic case study. (10)
2.2 Assuming the study is taking a quantitative approach, construct
a short
questionnaire with at least five (5) questions, to gather relevant
data. (15)
2.3 Assuming the study is taking a qualitative approach, construct
a short interview
guide, containing at least five (5) questions, to gather relevant
data. (15)