Branding And Strategic Investment: Why Firms Don’t Invest
Branding is a business strategy. It can justify higher margin because customers trust the brand based on their prior experience or because the brand is the best match for their preferences with respect to one or more product characteristics. The value of the brand to the firm is the price premium it commands. Successful branding can increase loyalty among customers, making them less likely to switch from purchase occasion to purchase occasion, even when competitors...
