Abstract
A theoretical framework is proposed in this study to explain how the evaluation of the innovation, be it incremental or radical, can be biased by the accessible perception of existent brand (such as core brand, co-brand, or ingredient brand). The underlying mechanisms in the proposed theoretical framework are constructed by theories of context effect, particularly the Dimensional Range Overlap Model. It is proposed that when there is an overlap between the interpretation range of the innovative product and that of the existent brand on the shared attribute, the innovative product will be perceived as more similar to the existent brand than when perceptions of the existent brand is not accessible (assimilation). On the other hand, when the interpretation range of the innovative product is not overlapped with the counterpart of the existent brand on the shared attribute, the innovative product will be perceived as more dissimilar to the existent brand than when no information of the existent brand is accessible (contrast). It is possible that the innovative product is perceived as more similar to the existent brand on some attributes with overlapped interpretation ranges, while, at the same time, perceived as more dissimilar to the existent brand on other attributes with non-overlapped interpretation ranges. Furthermore, the interpretation range of the innovative product on the unique attribute, to which the existent brand is not applicable, will not be biased by the existent brand. Marketing implications based on the proposed theoretical framework is provided in the end.
Translated title of the contribution | On the Biasing Judgment of Innovation: Context Effect of Existent Brand |
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Original language | Chinese (Traditional) |
Pages (from-to) | 339-355 |
Number of pages | 17 |
Journal | 台灣管理學刊 |
Issue number | 3 |
Publication status | Published - 2004 |
Keywords
- Biased Judgment
- Context Effect
- Assimilation
- Contrast
- Incremental Innovation
- Radical Innovation