THE IMPACT OF TECHNOLOGICAL INNOVATION ON BUILDING A TOP BRAND: THE MODERATING EFFECT OF REGIONAL DIFFERENCES

This study extends research relating to innovation and branding to answer the question of how technological innovation by a firm impacts the value of its top brand. This study examined dynamic models of innovation and branding derived primarily from resource-based theory and dynamic capability theory to test the hypotheses using longitudinal data on firms that own brands from the list of Business Week's top 100 global brands. The results indicate that technological innovation has some lagged effect on brand value and that whether the brands belong to Western films or to Asian firms can change the degree of the impact of the main effect in our study.