28.1.08

Contrast-comparison paragraph by Valentyn Danylyuk

Valentyn Danylyuk
Gr. - 13

According to the marketing studies there are two kinds of brands. Both manufacturer brands and own-label brands, have same structure - ubiquitous presence, added service, emotional values, and core functionality. Like manufacturer brands, own-label brands have acquired consumer loyalty. On the other hand, manufacturer brands are created by producers, but own-label brands are created and owned by businesses that operate in the distribution channel and often referred to as “distributors”. Unlike manufacturer brands, distributors will mix own-label and manufacturers brands. This will bring to them additional bargaining power when it comes to negotiating prices and terms with manufacturer brands. In contrast, manufacturer brands, by building their brand names, can gain widespread distribution and build customer loyalty[1]. It is impossible to conclude what kind is the best, but it should be sad that businesses that operate successful brands bring higher profits.

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1. http://tutor2u.net/business/marketing/brands_types.asp

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