This study examines the underlying dimensions of brand equity and how they affect firms’performance in the
hospitality industry—in particular, luxury hotels and chain restaurants. The results of this empirical study indicate that brand
loyalty, perceived quality, and brand image are important components of customer-based brand equity. A positive relationship was found to exist between the components of customer-based brand equity and the firms’performance in luxury hotels and chain restaurants. A somewhat different scenario was delineated from the relationship between the components of customer-based brand equity and firms’performance in luxury hotels and chain restaurants.