Abstract

International brand alliances have received increasing attention from academics and practitioners because many firms choose these alliances to enter overseas markets. The author reviewed two international brand alliance decisions facing a firm: the brand alliance structure and the selection of a local ally. Propositions rooted in the theories of attribution and categorization addressed issues of how the levels of relationship incorporation, relationship commitment, and relationship length with a local ally’s brand influence foreign brand assessment and attention, how congruity with the ally’s brand in hedonic natures and complementarity in utilitarian properties moderates the effect of international brand-alliance structure. It is posited that the higher relationship incorporation or the longer relationship length is the greater impact on foreign brand assessment and attention and that the greater relationship commitment is the greater effects on foreign brand assessment but lowers attention. For international marketing managers, these propositions are applicable; highlighting factors affecting success in international brand alliances enables them to develop any strategy for international brand and market development.

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