ACR Essay. Nedoboi Sergii

Investment in Brand

Argument	Counterargument	Rebuttal
Brand investment is important for business	Investment in quality of goods is more important than in brand	People choose goods by famous brand more often than by quality of a product
Positive image of company helps to sell products	A new high quality product does not need much of an advertisement	A company cannot sell any product without explanation of its advantages

Financial costs are reduced in each and every company in times of crisis. Firms shortcut their stuff, cut production, and close their branch offices to reduce costs and to stay alive. So, the importance of investing in a brand for a company is discussed since the term “brand” was firstly used but nowadays this topic is especially hot.  

One reason is that brand investment is important for successful business. A company creates an intangible long-run asset. This asset can help a firm to stay on market for a long time and produce an extra profit. An easily recognizable brand can give a company an extra credit while IPO is executed, when franchise branches are widening, and when a company is sold to another owner. The other reason to invest in brand is that positive image of company helps to sell products. A growth of a firm will lead to widening of a product range and highly-appreciated image of the whole company will help to start selling new goods easily. A well-known logo, pleasant emotions connected with brand, and goodwill are those intangible parts of successful business which can get a company on a new level.

On the other hand, there is a position that investment in quality of goods is more important than investment in brand. Modern laboratories and highly educated stuff will produce products and services of better quality. However, people choose goods by famous brand more often than by quality of a product. Everyone wants to be in fashion trend and usually spend money to buy goods of a famous brand but lower quality of a product itself.  It should be admitted that a new high quality product does not need much of an advertisement.  Still, a modern company cannot sell any product without explanation of its advantages and building a strong positive image of its brand even when it is a multi-level marketing sales approach.

Therefore, a modern company should invest in its brand to build profitable business. Moreover, a firm should invest in marketing research and in public relations to build strong long-term relationship with its customers which will help a company to achieve a financial well-being.