1. Co-branding strategies toward consumer behavior motivation-a case study of Sony Ericsson mobile phone in Taichung area Name: Chi-Che Yuri Liang ID#:9722616 Instructor: Tzu-Ching Kate Chen 1

2. Literature Review Co-branding definition Co-branding equity Co-branding fit 2

3. First through acknowledgement of co- branding, readers may know why SONY cooperated with Ericsson and make money, secondly, co-branding equity indicates the evaluations of how consumers think about the brands are worth to buy or not, finally, co- branding fit is an essential factor about whether the cooperative companies can work well together or not, and deliver the co- branding efficiency as well. The relationship between these three areas 3

4. The evaluation of co-branding Consistent with previous research in brand alliance (Chang 2008; Costas 2001), the evaluation of co-branding is modeled as a function of (1) the quality of each of the brands involved in the extension, and (2) the fit of each of the constituent brands with the co-branding product. 4

5. Consumers’ evaluation of co-branding Consumers' evaluation of the co-branding or extension takes place, first, by assessing the degree of overall fit between the co-brand and the extension. In turn, the overall fit is determined by considering simultaneously the fit of each of the constituent brands with extension and the compatibility between the brands, irrespective of the product featured in the co-branding or extension. 5

6. Brand alliances Definition: Brand alliance involves the short or long term association or combination of two or more individual brands, products, and/or other distinctive proprietary assets (Rao & Ruekert, 1994) Grossman (1997) defines co-branding as any pairing of two or more brands in a marketing context, such as advertisements, products, product placements, and distribution outlets. 6

7. Brand alliances Co-branding, a term used interchangeably with brand alliances, co-markering, joint branding, and symbiotic marketing. The brands can then be represented physically or symbolically through the association of brand names, logos, or other proprietary assets of the composite brand. (Russell; Patience, 2002) 7

8. Brand alliances Use : Brand alliances are most effective when they are used to improve and enhance signals of product quality that a brand is trying to make to the market (Rao and Ruekert, 1994; Rao, Qu, and Ruekert 1999). 8

9. Brand alliances Co-branding can be used to identify product ingredients or components, or to give potential customers a quality assurance. In an attempt to reduce cost and minimize risks, they became heavily involved in brand alliance and brand extension (Aaker, 1996) 9

10. Brand alliances Co-branding is used to enrich existing associations or generate new ones (Serafin 1994) Marketers appear to have recognized that, at least in some cases, using two or more brand names in the process of introducing new products, offers them a competitive advantage. 10

11. Why Sony Ericsson is popular in Taiwan 11

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13. 1 日元（円） = 0.33425371 台幣 1 瑞典克朗（ SEK ） = 4.30789746 台幣 1 billion=1,000,000,000 台幣 150 billions v.s. 52 billions 13

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16. 16 Asset value can be realized and enhanced more through brand alliance or co-branding referred to as hetero-brand extension (Costas 2001) Keller (1998) suggested that consumer positive knowledge and experience with a brand's products or services conveys a favorable evaluation of the brand and enhances the equity of the brand.

17. Brand equity Brand equity is brand assets and liabilities linked to a brand, its name and symbol that add to or subtract from the value provided by a product or service to a firm and/or to that firm's customer (Aaker 1991) 17

18. Co-branding fit However, associating one brand with another involved risks that need to be addressed. Co-branding may also affect the partner brands negatively. 18

19. Co-branding fit Furthermore, combining two or more brands together may cause brand meaning to transfer in ways that were never intended, or generate undesirable behind associations. Specifically, combining brands with seemingly inconsistent characteristics may cause confusion and, potentially, negative consequences (Geylani, Hofstede, and Inmen 2005) 19

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21. Discussion What do you think of Sony Ericsson mobile phone? If you want to buy a new mobile phone, will you considering Sony Ericsson one? Have you ever used Sony Ericsson mobile phone? 21

22. Thanks for your attention 22