MBA Distance education learning / What is a brand

Q: What is a brand?

Ans: According to AMA “A brand as a name, tern, sign, symbol, or

design or a combination of them intended to identify the goods

or service of one seller or group of sellers and to differentiate

them from those of competitors.”

Q: What is a brand?

A brand is a consumer’s idea of a product.

Or a perceived experience offered by a product or service.

Or a products unique identification.

Que: What is Brand image?

Ans: Impression in the consumers' mind of a brand's total personality (real and imaginary qualities). Brand image is developed over time through effective integrated communication mix with a consistent theme.

Q : What is Brand Equity?

Ans: The power of the brand derived from its goodwill and image it has earned over time resulting into sales volume and profit margins among other brands.

Q: What is Brand Loyalty?

Ans: The belief and faith shown by the consumers towards a particular brand, expressed trough their repeat purchases irrespective of presence of competitive brands.

Q: What is Brand Utility?

Ans: The generic, rational and emotional benefits promised by a brand to potential customer is called brand utility.

Q: What is Brand Value?

Ans: The increase monetary value of a product due to branding a product is called brand value.

Q: W hat is brand Positioning?

Ans: Brand positioning is the process of creating unique image of a product in relation to other products or brands in the market.

Q: What is Brand Personality?

Ans: Brand Personality describes brands in terms of human characteristics which reflect personality traits so as to attract targeted customers.

Q: What is Brand Awareness?

Ans: The popularity or the recognition of the brand among potential customers is called bran awareness. 

Q: What is Brand Preference?

Ans: The selection of a brand among competitive brands due to brand identity and brand awareness is called brand Preference. 

Q: What are the advantages of branding?

Ans: The advantages of branding are: 

* Every product requires having identity or naming so that it could be identified hence easy to Process Orders

* Legal Protection to Features

* Only products with unique features Attract Customers that’s why branding facilitates making customer loyal.

* Every part of market has specific needs so it promotes Segment Marketing hence increases marketing efficiency.

* Strong Corporate Image 

Q: Explain choice criteria for the brand elements?

Ans: There are six criteria to choose brand elements.

1. Memorable. How easily is the brand element recalled?
2. Meaningful. Does it suggest product ingredients or personality it wears?
3. Likeability. How good it is aesthetically?
4. Transferable. If the brand can pass on brand image to same or different categories.
5. Adaptable. How adaptable and updatable is the brand element?
6. Protectible. How legally protectible is the brand element?

Q: Explain brand earning?

Ans: The brand earning is calculated by subtracting the following items from brand sales.

1. Costs of brand sales
2. Marketing costs
3. Variable and fixed overheads including depreciation and central overhead allocation
4. Remuneration of the capital charge
5. Taxation.

Q : What are the advantages of Brand extension?

Ans: Two main advantages of Brand extension are:

1. It facilitates new product acceptance due to brand image it has earned already.
2. Positive feedback effects. To receive the credibility of the company behind the extension.

Q: What is Brand extension?

Ans: When companies introduces host of new product under some of their strongest brand name so as to take advantage of its brand name is called brand extension. A good example is Airtel diversed to satellite channels with same brand name. 

Q: What are the limitations of Brand extension?

Ans: the Brand extension also have some limitations, these are:

1) Line Extension Trap- too many products under one brand name loses clarity in the consumers mind.

2) Brand Dilution – it occurs when consumers no longer associate brand with product category it belongs. 

Q: Explain Brand Portfolio?

Ans: The brand portfolio is the collection of brands a company offers to the customer in a particular category. 

Q: Explain the need for a good Brand Portfolio?

Ans: The reasons to have good brand portfolio are:

1. To dominate retailer’s store sale by putting many brands at the retailer’s shelf.
2. To offer product with diverse features to leverage diversification.
3. To increase internal competition in the company so that efficiency could be increased.
4. To achieve economies of scale in production, marketing. Sales and other managerial activities.