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Influence of Brand Name on Consumer Decision
Umeå University, Faculty of Social Sciences, Umeå School of Business.
2008 (English)Independent thesis Advanced level (degree of Master (One Year)), 10 credits / 15 HE creditsStudent thesis
Abstract [en]

In the present developing and modern day world, consumerism has dominated all the aspects of life. The life in the society follows the pattern of the capitalist culture where the human values have a different measure, ‘you are known by what you have not by what you are’.

This naturally leads to the life in a society where everyone wants to have a unique place in the society, by possessing the things which sets them apart from the rest of people in the society.

In present society and living way, the Brands not only represent the symbol of the company or product but to a larger extent define the general life of a person. What the person uses can reflect his taste of life, his status in the society, his economic background and many other things. This makes a deep connection between the company and its brand, with the consumer. In this two way relation both are dependent on each other for various different reasons.

In today’s time customers are very deeply connected to the brands. When they purchase any product like a car, mobile, items of daily need, brand name influence the consumer’s choice.

Some customers purchase the specific branded things just due to the brand name. Customers believe that brand name is a symbol of quality.

I found this interesting and wanted to find out whether brand name influences the consumer choice when they go for purchasing any product. I chose to for the specific product because

this is one of the products which got my attention because of many reasons.

Initially the car production was dominated by few companies and one or two countries. With the time, the market started to grow and once considered to be luxurious commodity, cars became a need

rather than a choice. This increased the demand and with that many more companies entered the arena to have their share of profit and exploit the growing market. This made the companies to put more efforts and money to creating brand awareness of their product.

With the Huge sum of money and effort invested by the companies to create the awareness of their brand in the market, many questions arise; does this really affect the purchasing decision

of the customer? Does the brand awareness somehow influence the sale of the product? Etc.

On the basis of these questions, I formulated my problem as follows:

The purpose of this thesis is to create deeper consideration of what influence a brand name can have, when people go for purchasing, choose the products between different brands in automobile industry. Further I want to identify, if there is a connection between brands and the consumer decision making process.

I conducted this study based on theories and surveys. I analyzed the result of the survey in order to be able to draw conclusions and find answers to my problem.

I came to the conclusion that when consumer purchases a car, brand names influence his choice. Customers choose the well known branded car among other brands which are new or not so known.

The study shows that branded cars have a great place in consumer mind, when customers go for purchasing a car, they prefer to purchase a well known branded car. Customers do not want to try new or unknown branded cars because they have no much information about the

lesser known brand. Usually, people purchase well known branded cars because they might have heard before about brands or they have some information about them from other sources.

This makes customer feel more comfortable during the time of decision making as they are not so confident about the knowledge they have gathered about the other brands.

The consumers are very conscious about branded and unbranded cars because they have the view that branded cars are more reliable than unbranded car. This study also explains that customers trust the branded cars’ quality. Before purchasing a car people do not consider the lesser known brand car, as people are very attached to some specific brands. Some people are loyal to specific brands, over time they want to purchase the same branded car because the specific brand has satisfied the customer’s needs and in turn has gained the trust in the brand name.

I feel that the purpose of this study has been fulfilled to some extant. The theory describe that brand name has a power, which attracts the customers towards branded products. The reason

is that customer gets special connection with specific brands product and become the loyal with brand.

Place, publisher, year, edition, pages
Umeå: Handelshögskolan vid Umeå universitet , 2008. , 74 p.
Keyword [en]
Branding, Brand Equity, Emotional Branding, Consumer Decision making,
National Category
Business Administration
URN: urn:nbn:se:umu:diva-1623OAI: diva2:141583
Available from: 2008-04-28 Created: 2008-04-28Bibliographically approved

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