Brand Capital and Entry Order

Louis A. Thomas

Journal of Economics & Management Strategy, 1996, vol. 5, issue 1, 107-129

Abstract: This paper develops the hypothesis that firms possess a stock of well‐established brands, a stock termed brand capital. The firm with the greatest capital is able to introduce new products in response to new information about consumer tastes before rivals. The results using data from the ready‐to‐eat cereal industry not only support this hypothesis, but also distinguish brand capital from other sources of firm heterogeneity.

Date: 1996
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https://doi.org/10.1111/j.1430-9134.1996.00107.x

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