The impact of the brand management system on brand performance in B–B and B–C environments

Many companies are interested in the issue of how to develop strong brands. Although the brand management system (BMS) within a firm is very likely to have a positive impact on brand performance, there have been no empirical studies on the roles of the BMS. In this paper, we develop a conceptual model using the BMS and empirically examine its effect on brand performance. In particular, we compare how the BMS works as a mediating variable between market orientation and brand performance under B–B and B–C environments. The empirical results based on survey data from 1000 brand managers (from 770 B–C and 230 B–B firms) show that firms possessing a well-organized BMS dramatically enhance brand performance. The links of market orientation–BMS–brand performance are confirmed under both B–B and B–C environments. However, no other effects exist for B–B firms whereas a positive effect of market orientation on brand performance is observed in B–C firms. This study also offers some implications and future research questions based on the current results.Figure optionsDownload full-size imageDownload as PowerPoint slide