Advantages, So that it is recognisable to customers and can act as a marketing and promotion tool. This can help customers to distinguish a business from competitors., Higher prices can sometimes be charged for branded products because people often associate them with being of a high quality. This can increase profit, To encourage customers to become repeat customers – they become ‘brand loyal’ (this means they stick to buying one particular brand)., New products can be introduced to the market easily as the brand name is already known., Disadvantages, If a product within the brand is poor to gets a bad reputation (perhaps it is environmentally friendly for example), this can damage the reputation of the whole brand name., Some people try to copy brands and produce their own fake product. This gives customers the impressions that it is a real product, but it isn’t., Establishing a brand is a time consuming, lengthy and expensive process. This might have an impact upon the profitability of the business.

Branding

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