Investigating the effect of marketing mix on brand equity

Academic Thesis for Masters Degree: Business Management Grade: Transformation Management

Abstract

One of the most valuable assets of any company is the special brand value. Companies that have a high position in the minds of consumers in terms of special brand value can easily be considered more profitable among other companies in their respective industries. (Hosseini et al., 2008)

This research was conducted with the aim of investigating the effect of marketing mix on brand equity on the production of car floor coverings of the leading Khazar Plastic Company. This research is applied in terms of purpose and descriptive-case in terms of the type of data collection.

The customers of the leading Khazar Plastic Company are 480 people, which is the statistical population of this research, and to determine the sample size based on the table of Krejci and Morgan, a sample size of at least 214 is needed, and by using Lisrel software and the statistical method of the structural equation model, the relationship between the variables of the research was developed. The result of the research shows that there is a positive and significant relationship between perceived quality, brand loyalty and brand equity, and distribution channel and price have an impact on brand equity through influencing perceived quality. Keywords: marketing mix, mental image, brand loyalty, perceived quality, brand awareness, brand equity. Introduction One of the requirements for creating a strong brand is knowing each of Factors that create special value of the brand. In today's market environment, there are many different methods through which these marketing programs can be effective in creating and increasing the special value of the brand. Distribution network strategies, communication strategies, pricing strategies, and other marketing activities can weaken or strengthen the brand (Yudante, 2000).

Although the brand creates value for the organization and the company in an obvious way, the root of this value lies in the customer (Keller, 2001). In fact, the special value of the brand based on the customer determines the real value of the brand (Divandari, 2013)

1-2 Statement of the problem

The role of brands in identifying the company's product in today's expanding markets is an undeniable role.

With the expansion of the competitive arena and the invasion of global brands into the domestic market, paying attention to the concept of its special value for domestic companies in order to gain a greater share It is influencing the market.

Today, innovation and technical superiority are not necessarily the only essential factors for success; In markets where products and services match each other day by day, a strong brand may be the only characteristic that differentiates the offered product or service from competitors (Kotler & Pfoertsch, 2006).

In Iran, brands are not listed as an asset in the balance sheet; This is the reason for the neutralization of the long-term focus of the management on the internal development of the brand. Therefore, cash flow and short-term profits are often used as important performance parameters.

The country of Iran has many domestic products, but they have not been successful in terms of planning, there are many problems facing this industry. It is not possible to study all of them in this research. One of the challenges from the point of view of experts in this field is marketing and branding issues, which has not been defined in an optimal model.

In recent years, the amount of goods arriving with various trademarks and the great desire of sellers to use trademarks made in foreign countries has become a problem for Iranian manufacturers. According to these cases and the increase in consumer expectations and expectations. They are in a position where they see their market share in danger.

According to the economic developments in the country, the market has become highly competitive, so companies will seek to gain a competitive advantage by investing in creating a brand, and the role of branding in commercial markets will become more prominent (Amirshahi; 2010). In addition to creating a competitive advantage, strong brand names increase the liquidity of the organization and accelerate the flow of cash, providing the possibility of increasing the price, profitability and loyalty of customers (Madden et al, 2006).In addition to creating a competitive advantage, strong brand names have increased the liquidity of the organization and accelerated the flow of cash, providing the possibility of increasing the price, profitability and loyalty of customers (Madden et al, 2006). Therefore, it can be said that brand value has been proposed as a measure to measure the strength of brands, which has been formed and perfected over the past decades. One of the requirements of creating a strong brand is to know each of the factors that create brand equity (Soleimani; 2019), which is one of the factors that influence the brand value of the marketing mix, and by examining how it works, you can identify the elements that have a greater impact on brand development and allocate more resources to it. Therefore, in this research, the effect of the combined marketing and image of the company on the special value of the brand has been investigated, which can be used as a guide and measure to evaluate the activities of the company in order to create a strong brand. Increasing the special value from the point of view of customers and in other words creating a strong brand has many benefits for commercial companies. More precisely, it can be said that an increase in brand value increases the probability of choosing a brand (PiTTa & Katshis, 1995). It should be noted that the variables of the conceptual model include brand value, brand awareness/mental association, brand loyalty, perceived quality, company image, distribution channel, price, promotional activities, and after-sales service. Considering the above, we express the main research question as follows: "Effect". How is the marketing mix based on the special value of the brand in the production of car flooring of the leading Khazar Plastic company?"

1-3 The importance and necessity of research

Brands have expanded rapidly in our contemporary world. Brands are very ubiquitous in people's daily life and their number is increasing every day. Especially the brands that are exposed to everyone and offer goods and services to their consumers and other groups who have the ability to buy the products of those brands. In fact, brands are created to give value and credibility to the goods or services that are offered. Also, various brands have been maintained and developed for the purpose of obtaining long-term profits from them. In a competitive environment, a brand will be useful for its owner because a brand can differentiate its owner in the process of competition. Brand building and brand marketing are key marketing strategies. Because a strong brand can create a competitive advantage for its owner. When supply and demand in the market define the offered price, the marketing process can be a lever to increase demand, a lever that may increase long-term as well as short-term business profitability. A brand is one of the factors that can bring a long-term competitive advantage to a business, as a result, brand perception and brand management are essential in the marketing process (Jalkanen, 2012). One of the other benefits of the brand is that it leads to the right of precedence in choosing this company among similar companies. A strong brand strategy creates value for shareholders and also attracts the elite. Executive managers and management knowledge researchers are very interested in quantifying the value of brand websites. This value is expressed in marketing definitions under the title of brand equity. There have been several cases to define this marketing term, where the definition of Mr. Acker as one of the famous theorists in this field is mentioned: brand equity is defined as the assets (or liabilities) of the brand name that are connected to it, causing value creation or loss (Acker, 1991).

1-4 research objectives

The research is to investigate the effect of marketing mix on the special value of the brand on the production of car floor coverings of the leading Khazar Plastic company. 1-4-1 Sub-objectives: To investigate the relationship of marketing mix with mental image, brand awareness, brand quality, and brand loyalty. To investigate the relationship between distribution channel performance and mental image.

Investigation of the relationship between distribution channel performance and perceived quality

Investigation of the relationship between a good image of the company and perceived quality of the product

Investigation of the relationship between brand awareness and perceived quality

Investigation of the relationship between after-sales service and brand loyalty

Investigation of the relationship between a good image of the company and brand loyalty

Investigation of the relationship between brand awareness and brand loyalty

1-5 theoretical framework

Based on Farquhar's first definition of the special value of the brand, special value is the added value that a brand gives to a product.