The influence of negative emotion on brand extension as reflected by the change of N2: a preliminary study.

The aim of the present study is to find the neural features of the impact of induced negative emotion on brand extension. Facing three sequential stimuli in triples consisted of negative emotion pictures (stimulus 1), beverage brand names (stimulus 2), and product names (stimulus 3) in other categories, 20 participants were asked to indicate the suitability of extending the brand in stimulus 2 to the product category in stimulus 3. The stimulus triples were divided into six conditions depending on the emotion (neutral and negative) and the extension product category in stimulus 3: beverage, clothing, and the household appliance. A negative component reflecting conflict, N2, was recorded for each condition on the subjects' scalp. The induced negative emotion elicited significantly larger amplitude of N2 than did the induced neutral emotion in the moderate extension type (extending to the clothing product), whereas no significant difference was observed in any of the other two extension types. The findings indicate that the induced negative emotion has a specific negative impact on moderate brand extension, and the amplitude of N2 can be viewed as a reference measure reflecting such effect.