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One of the leading methods of valuing brands is customer-based brand equity, which states that brand equity is created by the customer.
The case effectively illustrates Keller's (2001) theories on customer-based brand equity and Aaker's (1992) theories on the assets and liabilities of brand equity.
differentiation, service quality) generate customer-based brand equity (CBBE)--a concept that predicts that consumers will react more favorably toward the product, price, promotion, and distribution of a branded product than they would toward a generic product in the same product category (Aaker, 1991; Keller, 1993).
Expanding on this view, Lane Keller presented some lessons at GIBS on the world's strongest brands, expanding on the importance of customer-based brand equity and condensing the characteristics of a strong brand into eight concise points.
Companies with growing customer-based brand equity will likely be rewarded with rising market share as the overall market expands.
Conceptualizing, measuring, and managing customer-based brand equity, Working Paper, Graduate School of Business, Stanford University: Stanford.
A Cognitive Model of Customer-Based Brand Equity for Frequently Purchased Products: Conceptual Framework and Empirical Results.
2000; Garvin, 1987; Hogarty, 1975) and building up the customer-based brand equity (Keller, 2001).