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http://dx.doi.org/10.5392/JKCA.2019.19.04.001

The Effect of Brand Reputation on Stock Price: Focused on Game Firms  

Rhee, Chang Seop (세종대학교 경영학부)
Rhee, Hyunjung (중앙대학교 융합교양학부)
Woo, Sohee (우송대학교 앤디컷국제대학 글로벌비즈니스학과)
Publication Information
The Journal of the Korea Contents Association / v.19, no.4, 2019 , pp. 1-11 More about this Journal
Abstract
Recently, the importance of not only financial factors from financial statements but also non-financial factors such as consumers' evaluation and loyalty to game content is more emphasized when assessing the value of game companies. In this study, we suggest the brand reputation index as an appropriate measure of a game company's valuation and examine the effect of the brand reputation on game companies' stock price using the observations of Korean major 30 game companies. From the empirical results, we find that there is a significantly positive association between the brand reputation index and the game companies' stock price. This explains that the brand reputation of game companies can directly affect their firm value. The findings are expected to contribute to capital markets and academia as they have presented empirical evidence of the importance of brand reputation as a non-financial measure for the valuation of game companies.
Keywords
Game Companies; Brand Reputation; Stock Price; Firm Value; Valuation;
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Times Cited By KSCI : 3  (Citation Analysis)
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