Why do the branded products costs more than non branded products
Dear Student,
a. Branded products are more expensive than non branded products because, big business houses spend a lot Commercial advertisements in making their advertisements more attractive.
b. Small companies/shops with medium budget are at a loss, because they are not in a position to advertise their products or bear its costs and hence goods are sold at a cheaper price
c. Further these branded products target a particular section of consumers, who prefer to buy such as it is a status symbol for them.
d Branded products are are generally of high quality produced in world class machinery.
e, These products are globally available and carry an international label with them.
f. Brands are endorsed by filmstars, cricketers and big celebrities thus, this increases the face value of the product and also the overall cost of production of the products,
g. Thus to cover up the cost of productions, these goods are sold at a higher price in the market.
h. Further, imported products ahave to pay high duties, which are also covered in the overall cost price of the product.
Regards
a. Branded products are more expensive than non branded products because, big business houses spend a lot Commercial advertisements in making their advertisements more attractive.
b. Small companies/shops with medium budget are at a loss, because they are not in a position to advertise their products or bear its costs and hence goods are sold at a cheaper price
c. Further these branded products target a particular section of consumers, who prefer to buy such as it is a status symbol for them.
d Branded products are are generally of high quality produced in world class machinery.
e, These products are globally available and carry an international label with them.
f. Brands are endorsed by filmstars, cricketers and big celebrities thus, this increases the face value of the product and also the overall cost of production of the products,
g. Thus to cover up the cost of productions, these goods are sold at a higher price in the market.
h. Further, imported products ahave to pay high duties, which are also covered in the overall cost price of the product.
Regards