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CHAPTER 2

REVIEW OF RELATED LITERATURE AND STUDIES


This chapter dwells on the presentation and discussion of relevant
information and data as given by both local and foreign literature and studies.
The scope of the research problem and the need for background information
on topic regarding the effects of brand image to the customers loyalty and
satisfaction to millenials in Binan City, Laguna were highlighted in this chapter.
smaterials read which provide direction to the researchers.

Related Literature
Foreign Literature
According to Yu-TeTu, Shean-Yuh Lin, Tan-Kui Hsu (2013) In his article, corporate
brand image has been assessed as an important antecedent of customer
commitment and loyalty. Corporate brands help companies achieving higher
performance, such as sales. A poor brand image will lead to disaster, and lose
customers. Marketing exists to deliver more value to satisfy customers as well as
build a long-term and mutually profitability relationship with customers. If a firm’s
products or services do not satisfy or meet the customer’s needs and wants, all
the strategies are insufficient. With loyal customers, companies can have higher
market share and reduce the operating cost. This initial study was from relevant
literature, then set up research structure and hypotheses. Survey was employed,
and respondents were collected from automobile sector in Taiwan. There were
170 usable questionnaires to analyze normality, convergent and discriminant
validities, and SEM model by PASW 18 and AMOS 18.0. The research found that
corporate brand image significantly affects customer commitment and loyalty,
and customer commitment has strong impact on customer loyalty for the
sample. Therefore, firms need to specifically focus on a long-term and mutually
profitability relationship with a customer and create loyalty as competitive
advantages in the markets.

Local Literature

Brand image is the impression in the consumers’ mind of a brand’s total personality.
Brand images developed overtime through advertising campaigns with consisted theme,
and is authenticated through the consumers’ direct experience.[businessdictionary.com]
Brand awareness has a stronger impact on the subsequent purchasing choices, if the
product once tried out fulfilled the consumer’s expectations. [Maciej Koniewski]
When concerning approaches that consumers may have about a product, basic
concerns are very important. These include: the perception of product quality, value of a
product, and relating an image to a particular product. Measuring brand image and
usage can be achieved through various survey methods ranging from "have you ever
heard of brand Z" question types, to which brand comes to the "top of your mind" first.
These surveys are critical in assessing how effective a company is at marketing their
products by examining the brand image consumers have and the effect these may
contain on considerations for product purchase or usage.

RELATED STUDIES

Foreign Study

According to Bennett & Rundle Thiele (2004) explained that the brand image is
the perception of the customer which is perceived by customers while buying
commodity and service but brand image cannot be treated as a benchmark or
guarantee for giving satisfaction to the customer. it is likely to be said that
customer satisfaction can be considered as the powerful tools in the marketing
by which an image of an organization which is perceived by customers. If the
customer is having satisfaction certainly it will have a strong effect on brand
image. Furthermore, it is generally said and believed that a satisfied customer
is more likely to display loyalty behavior, i.e. repeats purchase and willingness
to give positive word of mouth

Local Study

According to Katherine and Darren (2008), among consumers in developing countries,


brands perceived as having a nonlocal country of origin, especially from the West, are
attitudinally preferred to brands seen as local, for reasons not only of perceived quality
but also of social status. We found that this perceived brand nonlocalness effect was
greater for consumers who have a greater admiration for lifestyles in economically
developed countries, which is consistent with findings from the cultural anthropology
literature. The effect was also found to be stronger for consumers who were high in
susceptibility to normative influence and for product categories high in social signaling
value. This effect was also moderated by product category familiarity, but not by
consumer ethnocentrism. The results, thus, suggest that in developing countries, a
brand's country of origin not only serves as a “quality halo” or summary of product
quality, but also possesses a dimension of nonlocalness that, among some consumers
and for some product categories, contributes to attitudinal liking for status-enhancing
reasons.

file:///C:/Users/PC-User/Downloads/1042-1-1042-1-10-20160308.pdf

https://www.researchgate.net/publication/260294742_EFFECT_OF_BRAND_IMAGE_O
N_CUSTOMER_SATISFACTION_LOYALTY_INTENTION_AND_THE_ROLE_OF_CUS
TOMER_SATISFACTION_BETWEEN_BRAND_IMAGE_AND_LOYALTY_INTENTION
_Council_for_Innovative_Research

http://www.ijrbsm.org/pdf/v3-i5/5.pdf?fbclid=IwAR3i-
Op9_7260t739qmWLM6RtUfwWaDj__eCQxN8k9yVXI9skunnnw7Ubqg

https://www.sciencedirect.com/science/article/abs/pii/S1057740800703287

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