Antecedents of Brand Equity: The Chinese Path to Building Brands
A Case-study of GEELY and BYD Automotive Brands

Abstract

Foy many years China was flagged as the world’s premier factory neglecting significant aspects such as brand equity. This study explores the antecedents of brand equity of Chinese brands. The main purpose of this study is to examine the evolution of Chinese brand equity and the impact of selective marketing mix elements and the Country of Origin as attributes preceding the creation of Chinese brand equity. A qualitative approach has been adopted in order to acquire an understanding of Chinese path to building brands. A case-study methodology was applied, with the unit of the analysis being two Chinese automotive brands: GEELY and BYD.
The researcher proposes a conceptual framework in which brand differentiators composed of selective marketing mix elements and the COO (Antecedents) are related to the dimensions of brand equity; brand awareness, perceived quality, and brand associations.
Throughout the course of study, five questions were explored. The results of the research confirmed that some of the Chinese companies are moving towards building strong brand equity with their steady steps in product quality, joint ventures and co-branding. The researcher also confirmed that Chinese Country of Origin is no longer an obstacle to building strong brand equity.
Two research questions - geographical presence and perceived value - were not supported by the cases of GEELY and BYD and were not accepted as positively affecting the brand equity of Chinese brands during the course of the study. While some literature supports this direction, the two cases understudy failed to support them. The research affirmed that certain Chinese brands are on the rise and that the strategic focus of Chinese companies recognizes the fact that brand building is the path to sustainable competitive advantage. For the purpose of triangulation and control for reliability, the accepted questions were further investigated by an external researcher.
Discussion, conclusion, recommendations, and future work will then be explored.