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Fashion Collaboration

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Submitted By remmy
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1. Introduction
1.1 Background and Context
Brand alliance belongs to one of brand extension strategy, which have been using in different industry since 1990s (Simonin and Ruth, 1998). Company uses this branding strategy to differentiate itself from other competitors therefore to build its competitive advantage (Spekman et al, 1996). Brand alliance, defined as the situation in a short- or long- tern association or combination of at least two brands (Rao and Ruekert, 1994; Rao, Qu and Ruekert, 1999; Simonin and Ruth, 1998) that able to create an unique combined add value to consumer (Prince and Davies, 2002) by co-marketing context such as advertising, product development, product placement or distribution (Grossman and Priluck, 1997; Leuthesser, Kohli and Suri, 2003; Kumar, 2005).

The importance of the strategy can be proved from utilisation in many different industries, such as computers (IBM-Intel), credit cards (Citibank-Visa), mobile phone (Sony-Ericson), food (Diet-Coke-NutraSweet) (Maiksteniene, 2009). Therefore, lots of previous research have been focus on evaluate the leverage of brand alliance between involved brands (host and partner brand), the brand equity change because of the success or failure from the collaboration (Simonin and Ruth, 1998; Wshburn et al, 2000), the value of brand alliance compared with other brand tactics (Leuthesser et al, 2003), managerial the relationship of brand alliance (Bucklin and Sengupta, 1993) and the selection of parent brand and partner of brand alliance (Leuthesser et al, 2003). However, only few studies investigate the practical application of brand alliance in the fashion industry (e.g. Ahn et al, 2009; Suh and Park, 2009).

The study from Simonin and Ruth (1998) was the most crucial study, which analysed the brand alliance effect not only about the joining brands’ influence and the fit between the brands, but

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