Making sense of the brand extension decision
Abstract: The purpose of this study is to utilize the sensemaking perspective to increase the understanding of what makes managers consider brand extensions, and how the decision is formed throughout the sensemaking process. The study aims to add to the existing literature by providing knowledge about the largely unexamined domain of managerial practice related to brand extensions. Furthermore, this study is designed as a qualitative multiple case study on four Swedish distilleries. The data was gathered primarily through semi-structured interviews and processed using a thematic method of analysis. This study found that brand extension decisions are influenced by managers subjective interpretive frameworks and previous organizational identity constructions. Contextual factors affects managers perceived need of brand extensions following the attention to one or more cues.
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