question_answer 23)

How does branding help in creating product differentiation? Does it help in marketing of goods and services? Explain.

Answer:

Branding helps a firm in distinguishing its products from that of its competitors. This helps the firm to secure and control the market for its products. If products were sold by generic names, it would be very difficult for the marketers to distinguish their products from its competitors. Thus, most marketers give a name to their product, which helps in identifying and distinguishing their products from their competitors product. This process of giving a names or a sign or a symbol etc to a product is called Branding.