2015International Journal of Diplomacy and EconomyRequires access

Rebranding strategy in the international context: the role of country image

Afef Ben Youssef Zghidi, Faouzia Mida, Imed Zaiem

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Abstract

Market globalisation and competitive intensity drive certain managers to revise their brand strategies. In this respect, the present article questions the consequences of a rebranding strategy of a service provider, especially in the international context. The focus is on testing the impact of this change on customer-based brand equity and the role of country image on customers evaluations. The empirical study was conducted in Tunisia and focused on a rebranding strategy of a mobile telephone operator. A total of 180 individuals participated in this survey. The results showed that brand loyalty before rebranding has a negative effect on only one dimension of the consumer attitude towards rebranding. The latter variable has a direct and positive impact on customer-based brand equity. In fact, the more favourable consumer attitude towards rebranding is, the higher the level of customer-based brand equity becomes. Furthermore, the global image of the country of origin has a moderating effect on the latter relation.

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What this paper is about

Market globalisation and competitive intensity drive certain managers to revise their brand strategies. In this respect, the present article questions the consequences of a rebranding strategy of a service provider, especially in the international context. The focus is on testing the impact of this change on customer-based brand equity and the role of country image on customers evaluations. The empirical study was conducted in Tunisia and focused on a rebranding strategy of a mobile telephone operator. A total of 180 individuals participated in this survey. The results showed that brand loyalty before rebranding has a negative effect on only one dimension of the consumer attitude towards rebranding. The latter variable has a direct and positive impact on customer-based brand equity. In fact, the more favourable consumer attitude towards rebranding is, the higher the level of customer-based brand equity becomes. Furthermore, the global image of the country of origin has a moderating effect on the latter relation.

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Available abstract

Market globalisation and competitive intensity drive certain managers to revise their brand strategies. In this respect, the present article questions the consequences of a rebranding strategy of a service provider, especially in the international context. The focus is on testing the impact of this change on customer-based brand equity and the role of country image on customers evaluations. The empirical study was conducted in Tunisia and focused on a rebranding strategy of a mobile telephone operator. A total of 180 individuals participated in this survey. The results showed that brand loyalty before rebranding has a negative effect on only one dimension of the consumer attitude towards rebranding. The latter variable has a direct and positive impact on customer-based brand equity. In fact, the more favourable consumer attitude towards rebranding is, the higher the level of customer-based brand equity becomes. Furthermore, the global image of the country of origin has a moderating effect on the latter relation.

Key concepts: Rebranding, Brand equity, Business, Brand loyalty, Advertising, Marketing, Context (archaeology), Brand awareness

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