ABSTRACT
The brand architecture is the combination of levels of branding and brand names of an organization. The choice depends on the positioning of the corporate or umbrella brand and possible individual brands. That is because a new product for a brand (an extension) must logically fit the brand name under which the product will be marketed. Academic research demonstrates that extensions without fit with the parent brand often fail and are also harmful to the parent brand. We showed that if a new product does not logically fit under the existing brand name, a new name must be chosen. Also with mergers and acquisitions, it should be very well considered to what extent the positioning of the brands matches. At the same time there are also other considerations such as what kind of power relation must be communicated after the merger or acquisition.
