Factors Affecting Employee-based Brand Equity: Evidence From China

Abstract

Employee-based brand equity (EBBE) has been receiving increasing attention in recent years. However, most studies focus on the construct definition and scale development, as well as the effects that EBBE may have on corporate performance. Few studies try to identify the source of EBBE, or in other words, the antecedents of EBBE. The major study of the antecedents of EBBE is King and Grace’s model (2010), which is restricted to the service industry. As this research is cultural context-dependent, it is necessary to test the framework of King and Grace’s model (2010) in other regions or industries. Replication studies are important for the generalizability of strategic management theories as reputed journals such as the Academy of Management Journal (AMJ) and the Strategic Management Journal (SMJ) have proposed. Therefore, this study was designed to test King and Grace’s model (2010) in an eastern cultural context (China) and covers several non-service sector industries. The results confirmed King and Grace’s model to a high extent, which has significant implications for firms in developing countries.   Keywords: Employee-based brand equity, Brand management, China, Employee behavior, Competitive advantage.