1. ¹obtained his PhD at the Business School of the University of Birmingham, UK, and he is currently a research fellow in China Europe International Business School (CEIBS). His research interests cover branding, consumer behaviour and marketing research.
2. ²is Professor of International Marketing at the Birmingham Business School, the University of Birmingham, UK. He has been at Birmingham since 1999 and was previously Professor of Marketing at the University of Calgary, Canada. He is the author of several books including a major textbook on international marketing.

Correspondence: Junsong Chen, China Europe International Business School, Case Development Center, Room 2006, Civil Aviation Mansions, 18 Xin Jin Qiao Road, Pudong, Shanghai, 201206, People's Republic of China, Tel: 86 2158 541 259 Fax: 86 2150 304 260, Email: cjunsong@ceibs.edu

Revised 29 April 2003.

Abstract

Research traditionally regards the product attribute as the determinant in consumers' variety seeking. Research has focused mainly on examining variety seeking in the brands used, and assumes that consumers can clearly appreciate the product attributes and identify the variety they need. Therefore these theories do not incorporate the influence of the company name in the consumers' decision to purchase a brand. It is believed, however, that consumers' information processing is different when purchasing an unknown brand. In this paper, an attempt is made to explore what factors affect consumers' reliance on the company name — that is, the name of the corporation alone — in their decision to purchase a brand that has not been previously purchased.