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Owing to the Prevalence of sales promotion(SP) activities and the emphasis of brand equity in recent years, this research examines the influence of SP on the brand equity. However, the researchers did not have a consistent result about this area. According to the discussion of related literature, this research divides SP into pricing promotion and non-pricing promotion, and we use discount promotion and gift promotion to represent the two kinds of promotion. Furthermore, the promotion situations are divided into induced, collective and aggressive situations. This research studies the high and low lever brand equity of two manufactures'''' brand. Using a 2×3×2 experimental design, discusses the influences of SP on manufactures'''' brand and retailers'''' brand. The result is that SP will has negative impact on manufactures'''' brand. The pricing promotion will harm the brand equity of manufactures'''' brand than the non-pricing promotion. The SP will reduce the consumer''''s purchase intention of manufactures'''' brand. In the situation of collective and induced, SP will has positive impact on retailers'''' brand. However, in the situation of aggressive, SP will not has positive or negative impact on retailers'''' brand. Finally, source of the SP will has positive impact on retailers'''' brand is the upgrade of reasonable price perception.
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