CHAPTER ONE INTRODUCTION

This section discusses the background to the study, the problem statement and the research objectives. It further explains the study’s significance and the research purpose. It would also give a chapter disposition that highlights the key areas the various chapters are to cover.

          Background of the Study

Government’s deregulation of the telecommunications sub-sector in 1994 has led to an expansion of the sector in Ghana. Statistics from the National Communications Authority (2017) indicates that the total number of voice subscriptions in Ghana by the end of July 2017 stood at 37,136,600, representing an upward surge of about 1.94 from the figure for June 2017 (National Communications Authority, 2017). The total penetration rate for voice subscriptions in that same period was 130.35%. Arguably, the statistics is indicative of the fact that the use of mobile phones is widespread and the mobile phones market is one of the largest electronic gadgets market in Ghana. The use of mobile phones has created several avenues for economic development as it provides a source of livelihood for a majority of the populace. In several product markets, manufacturer brands are facing stiff competition and one such market is the mobile phones market. Competing firms are able to influence consumer decision making if their offerings are perceived by consumers to have a positive brand image (Persaud & Azhar, 2012).

For decades, brand image has been documented as a crucial aspect in brand management (Keller, Parameswaran, & Jacob, 2011). Although scholars agree brand awareness is an essential step in building brand equity, it is however insufficient: additional important considerations like brand image are crucial in creating and sustaining brand equity over time (Motion, Leitch, & Brodie,

2003). In line with this assertion, some scholars argue that brand equity is driven by brand image (Chen, 2010). Furthermore, the findings of Alwi (2009) indicates that brand image allows consumers to distinguish alternate choices. The image that a brand is linked with has the ability to affect opinions about quality, value and price (Chi, Yeh & Yang, 2009).

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