It is crucial to note that brand plays a critical role in the organization. Brand is a unique and identifiable symbol. It can also mean association, name or the trademark. The main goal for the brand is to differentiate the competing products and services. Brand itself can signal level of quality to both the potential and non potential consumers. This in turn can be effectively used by different markets to gain competitive advantage. It is prudent to note that branding is the key to success in any business organization. The brand provides value to the consumers during the buying process. This has an effect of attracting more customers and stimulating their loyalty. Therefore, the brand name shifts the demand curve to the right.
What is the role of advertising in each of the four market structures?
Advertising is a form of communication through which consumers are made aware about products and services available in a given organization and their respective prices. It is aimed to encourage and persuade individuals to by products from a given organization. Advertising plays a critical role in each of the markets. Advertising plays an important role in pushing the demand curve to the right. Advertising also help to provide the clients with specific information, attract new customers and also retain the existing clients within the organization hence increasing the profit margin of the business organization.
In conclusion, it s prudent to note that both advertising and branding are crucial for any given market structure to achieve competitive advantage. It is therefore important that the organizations invest heavily in these areas if they are to have an edge over their competitors.
