Brand equity is defined as the differential effect
of brand knowledge on consumer response to marketing
efforts (Aaker, 1991). The ultimate aim of
branding is favorable response from consumers/
customers. Companies attempt this by marketing
products to customers, highlighting differentiating
characteristics. Differentiation lies at the heart
of branding. In its absence, products cease to be
brands and instead become commodities, which
makes charging a price premium impossible. Differentiation
allows companies to control their prices
and command loyalty for their brands.