A semiotic analysis of the extendibility of luxury brands

Nathalie Veg-Sala () and Elyette Roux
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Nathalie Veg-Sala: CEROS - Centre d'Etudes et de Recherches sur les Organisations et la Stratégie - UPN - Université Paris Nanterre, UPN - Université Paris Nanterre
Elyette Roux: AMU IAE - Institut d'Administration des Entreprises (IAE) - Aix-en-Provence - AMU - Aix Marseille Université

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Abstract: Purpose – Considering a long-term perspective and the discourse directly emitted by brands, the aim is to study how can brand extension potential be predicted through the analysis of brand contracts? Design/methodology/approach – Considering a long-term perspective and the discourse directly emitted by brands, the aim is to study how can brand extension potential be predicted through the analysis of brand contracts? Findings – Three groups of brands are identified: brands anchored in both determination and mastery contracts defined as open (high extendibility); brands anchored in a determination contract defined as open, as well as in a mastery contract defined as closed (low extendibility); brands anchored in a mastery contract defined as open as well as in a determination contract defined as not closed (high extendibility, but risks of diluting the brand value). Research limitations/implications – Compared with extensions actually developed by these brands, the results are discussed and strategies are proposed to maximize the long-term brand development when the brand extension potential is low. Only studied on products, it would be interesting to complete this analysis in services. Originality/value – The main contribution is the focus on brand narratives and contracts to predict the brand extensibility of luxury brands. Structural semiotics provides another original insight.

Keywords: Brand narratives and contracts; Luxury; Semiotics; Brand extendibility; Brand extension potential (search for similar items in EconPapers)
Date: 2014
Note: View the original document on HAL open archive server: https://hal.parisnanterre.fr/hal-01525472
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Citations: View citations in EconPapers (5)

Published in Journal of Product and Brand Management, 2014, 23, pp.103 - 113. ⟨10.1177/076737019501000202⟩

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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-01525472

DOI: 10.1177/076737019501000202

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