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Many apparel brands use growth strategies that involve extending a brand’s line horizontally (same price/quality) and/or vertically (different price/quality). While such opportunities for growth and profitability are enticing, pursuing them could dilute a highly profitable parent brand. Categorization theory’s bookkeeping model and the cue scope framework provide the theoretical framework for this study. The purpose of this study is to test whether specific attributes of a line extension (i.e. direction of extension, brand concept, price discount and perceived fit) make a parent brand more susceptible to dilution.

This experimental study manipulates brand concept (premium or value brand) and price level (horizontal or vertical: −20per cent, −80per cent) and measures perceived fit to test effects on parent brand dilution. ANOVA and t-tests are used for the analysis.

Vertical extensions dilute the parent brand, but horizontal extensions do not. Dilution is strongest for premium (vs value) brands and when line extensions are discounted (i.e. −20per cent or −80per cent lower than the parent brand), regardless of the perceived fit between brand concept and brand extension price. Overall, brand concept is the strongest predictor of parent brand dilution in the context of vertical-downward extensions.

This study establishes which factors emerge as important contributors to parent brand dilution. Although previous studies on brand dilution are abundant, few studies have compared the effects of horizontal and vertical extensions on brand dilution. This study offers strong theoretical as well as practical implications.

This paper aims to discuss the association between human resource management and performance from a process perspective, differentiating intended and implemented vertical and horizontal fit. Although researchers have examined deeply the relationship between these constructs, extant literature demonstrates inconclusive results. Previous studies have stressed the strategic importance of vertical and horizontal fit from a prescriptive view. Nevertheless, a deeper understanding, focused on management processes, is needed.

This paper reviews and integrates two streams of strategic human resources management (SHRM) literature: the fit perspective, drawing on Martín-Alcázar et al.’s (2005) model, and the system strength approach, proposed by Bowen and Ostroff (2004).

The conceptual analysis developed in this paper concludes that HRM system strength mediates the effects of an aligned strategy on performance. In this sense, the paper argues that success in implementation of the HRM strategy depends on employees’ perceptions about the system of policies and practices through which it is carried out. Additionally, organizational communication is considered as the mechanism to create a shared HRM meaning to translate to employees.

Drawing on the theoretical discussions in the paper, the following implications for HRM practice are identified: the usefulness of the system strength construct as a tool to measure employees’ perceptions and anticipate potential problems at the implementation stage, the importance of organizational communication mechanisms, the relevance of formal and informal connections between HR managers and top executives and the need for specific training to promote HR managers’ communicational skills.

This study examines the relationship between HRM and organizational performance by presenting a new model that integrates HRM strategy formulation and implementation, proposes employee perceptions concerning HRM are mediators of HRM strategy and firm performance, highlights the role of organizational communication in creating and managing shared HR messages and introduces system strength as an instrument to assess vertical and horizontal fit during implementation.

This paper aims to go a step further in the analysis of double fit in the human resource management (HRM) strategy context, exploring how its effect on performance is influenced by employees’ perceptions about the HRM strategy. Traditionally, the literature has considered the need for a double fit (horizontal and vertical) in the design of HRM strategies. However, as recent critical reviews have argued, a deeper theoretical analysis seems to be needed to understand fully how they affect organisational performance, and why firms with similar levels of alignment have different human resource outcomes.

Based on the literature review, the paper proposes a new theoretical model combining two fields of the strategic HRM literature which had been traditionally disconnected: the double fit approach and the literature on employee satisfaction and involvement. The design of the HRM strategy is reviewed considering the classical distinction between universalistic, contingent, contextual and configurational perspectives.

The findings of this paper provide an alternative model to examine the double fit in the HRM strategy context.

Drawing on these approaches, the paper proposes the introduction of the “system strength” construct, which measures the perceived robustness of the HRM system, as a moderator of the effects of double fit on organisational performance.

This study aims to understand how consumers evaluate downscale vertical line extensions of a prestige/luxury original equipment manufacturer (OEM) in the European automotive market. The authors investigate the moderator effects of innovativeness and the need-for-status traits on the relationships between consumers' extension perceived fit (EPF), extension attitude (EA) and extension perceived value (EPV).

Experimental design with quantitative analyses based on a sample of 419 participants. Participants were randomly assigned to two treatments: low-fit and high-fit extension simulations.

The purchase intention of the downscale vertical extension of a luxury OEM brand is directly influenced by EPV and indirectly influenced by consumer EA and EPF with the parent brand. Findings also suggest that parent brand equity is transferable to extensions that present closeness and consistency with the brand’s heritage. Moreover, the need for status strengthens the relationship between the EPF and the extension perceived social value (EPSV).

The authors developed a realistic simulation of a downscale model of a well-known prestige/luxury car brand. The authors test the influence of innovativeness and need-for-status personal traits on consumer extension acceptance.

In this research, the authors try to answer the question of when broad-based employee share ownership (ESO) is more likely to be used and how it can be managed more effectively from the vertical fit perspective in strategic human resource management (HRM).

The study analyzes an unbalanced panel sample of 614 organizations (1,601 organization-year data points) in South Korea, utilizing hierarchical linear modeling (HLM).

The analysis demonstrates that organizations are more likely to adopt broad-based ESO when they utilize the prospector and analyzer strategies as opposed to the defender strategy. The analysis also reveals that the relationship between broad-based ESO and labor productivity is positive only when organizations utilize the prospector strategy as opposed to other types of strategies (i.e. analyzer and defender strategies).

The findings first indicate that the decision to adopt a broad-based ESO in organizations should be informed by their business strategy if they want to enhance labor productivity. Specifically, the results demonstrate that only the prospector firms, rather than defenders or analyzers, can reap the productivity benefit of broad-based ESO. Second, since innovation is a major source of productivity for prospector firms, the findings demonstrate that a broad-based ESO can be a vehicle that drives innovation. As a result, firms may want to consider utilizing broad-based ESOs to foster innovation.

The findings emphasize the relevance of the “vertical fit” perspective in examining the broad-based ESO and firm productivity relationship. Most past research utilized the “horizontal fit” framework in refining the relationship between broad-based ESO and productivity. Thus, the study emphasizes the need to utilize the “vertical fit” perspective, and not only the “horizontal fit” perspective, in the broad-based ESO research. Through this, the study meaningfully extends the research on the productivity effect of broad-based ESO by adding an important moderator (i.e. strategy) to the model.

Although many employers continue to adopt various forms of worker participation or employee involvement, expected positive gains often fail to materialize. One explanation for the weak or altogether missing performance effects is that researchers rely on frameworks that focus almost exclusively on contingencies related to the workers themselves or to the set of tasks subject to participatory processes. This study is premised on the notion that a broader examination of the employment relationship within which a worker participation program is embedded reveals a wider array of factors impinging upon its success. I integrate labor relations theory into existing insights from the strategic human resource management literature to advance an alternative framework that additionally accounts for structures and processes above the workplace level – namely, the (potentially implicit) contract linking employees to the organization and the business strategies enacted by the latter. The resulting propositions suggest that the performance-enhancing impact of worker participation hinges on the presence of participatory or participation-supporting structures at all three levels of the employment relationship. I conclude with implications for participation research.

The purpose of this study is to examine whether the performance of the compensation system is better explained by the universalist approach or the contingent approach. The paper also attempts to determine the type of fit that yields the most promising gains in terms of perception of performance.

Data were collected by questionnaire from 602 large organizations in three countries (Canada, France, and the UK), and from this, five hypotheses were formulated and tested using moderated regression analysis.

The study shows that having an optimal relationship among compensation policies (intra‐activity fit) leads to a more efficient compensation system than that obtained following an alignment with business strategies (vertical strategic fit) and with organizational development strategies (internal organizational fit). However, the results suggest that the universalist perspective cannot be rejected.

Human resources managers should exercise prudence regarding the pairing of compensation policies with various organizational characteristics, particularly those related to compensation management policies, because it is the interaction between compensation policies and their management methods that most influences the perception of performance. Of all these management policies, transparency of salary information seems to be central to the contingency perspective.

One of the most interesting contributions of this research is the identification of negative alignments that may result in negative performance. The joint application of two compensation policies, which, individually, have a positive influence on performance, can create a negative interaction. Contingency is therefore not always desirable, and prudence is recommended in the types of alignments introduced.

In this article M. Isacco concludes his exposition of what he believes to be the underlying principles of flight by direct‐lift machines. He here surveys the types that have been built up to the present from the point of view of their stability characteristics. This involves a critical description of practically every helicopter built during the last thirty years. His paper therefore constitutes a history of all that has been done in this field of aeronautics in modern times

ACCORDING to historical records the earliest known drawings for an aerial machine that can be classified under the heading of helicopter were made in the fifteenth century by the world renowned Italian scientist and artist Leonardo da Vinci (1452–1519). Probably the Chinese had been making their helicopter toy for some considerable time before da Vinci commenced his experiments. This toy consisted of two feathers, joined together by means of a cork or soft wood boss, to form a crude type of propeller which was pushed up a threaded stick so that upon leaving the stick the propeller rotated at high speed and continued to screw itself up in the air. When the speed of rotation decreased the propeller slowly windmilled down to the ground. A similar toy is still being sold today.