Branding can be effective because:
- It creates familiarity with customers
- It makes a company seem more powerful
- Gives a company status
- Gets a company to be more well known
- Creates a trust and reliability for customers
On the other hand..
Branding can be ineffective:
- Can give a bad image to a company
- Can call for a higher price
- Can associate product with negativity if products are faulty
Overall, I think branding is important to a company because it helps create an image for a company which is what they want. Companies want to be known and in the mind of consumers, but with branding comes great responsibility, therefore a company must understand the consequences to be suffered if just one of their products lines is faulty. This can then be construed that all of the products from that company are bad.
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