Abstract

This paper examines how country-of-origin and manufacturer-of-origin effects impact brand equity for utilitarian versus hedonic products. Applying the concept of revenue premium as a measure of brand equity, this paper uses a variance component model together with secondary panel data for the U.S. passenger car market to show it is possible to apply a measure of brand equity for product categories without private labels. The results show that proportionally country-of-origin influences brand equity for hedonic products; whereas manufacturer-of-origin impacts brand equity for utilitarian products.

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