The Value Relevance of Brand Attitude in High-Technology Markets

The authors assess the extent to which brand attitude, a key component of brand equity, has value relevance—that is, helps predict future earnings and thus firm value—in high-technology markets. Using data for firms in the computer industries, the authors find that changes in brand attitude are associated contemporaneously with stock return and lead accounting financial performance. The study also provides insights into the drivers of brand attitude. The authors find that both product attributes and peripheral cues shape brand attitudes in high-technology markets.