Integrating risk literacy into brand management
| Autor: | Alexandra-Elena Postoaca, Dorian-Laurentiu Florea, Claudiu-Catalin Munteanu |
|---|---|
| Rok vydání: | 2016 |
| Předmět: |
Equity risk
business.industry Strategy and Management Brand awareness 05 social sciences Financial risk management Reputational risk Brand management 0502 economics and business 050211 marketing Business Brand equity Business and International Management Marketing Risk assessment 050203 business & management Risk management |
| Zdroj: | Review of International Business and Strategy. 26:204-218 |
| ISSN: | 2059-6014 |
| DOI: | 10.1108/ribs-02-2014-0025 |
| Popis: | Purpose The purpose of this paper is to integrate brand equity into companies’ overall risk assessment by suggesting a methodology of evaluating the relevant aspects of brand risk. Design/methodology/approach Based on a theoretical framework which discriminates between brand assets, brand strength and brand value, this paper set two alternative directions that can be followed to assess brand risk: a financial direction, which accounts on brand value, and a marketing direction, which stresses on brand assets and brand strength. Following the latter one, this paper provides mathematical formulas which contain specific factors of volatility that can be integrated in a future scoring system. Findings This paper proposes four major risks that need to be considered when evaluating brand assets risk: reputational risk, presence risk, loyalty risk and halo effect risk. This paper provides an evaluation methodology for each one. In addition, a 12-step implementation model is proposed as a managerial guideline for integrating brand risk in the companies’ risk management. Originality/value This paper emphasizes the importance of considering brand equity as a potential source of risk and thus integrating it into risk management. Also, we continue Abrahams’ pioneer work on adding risk literacy into brand management. |
| Databáze: | OpenAIRE |
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