In response to Wenchuan’s blog regarding to the brand name of a company and the reputation of a company, I completely agree with him that the brand name and the reputation of a company plays a big role in the success of the company selling its products.
When a company has established its brand name among consumers, and has position its product on top of the ladder, the company clearly has an edge over other companies in the same industry. The reason behind it is because the consumers have already viewed the product as “the one”. Consumers have subconsciously chosen the product, and therefore have a bias against other products with the same functionality before even trying.
Furthermore, the reputation of the company is just as important as its brand name. Because our world has become more accessible, and consumers can easily acquire information from the Internet, consumers are more aware of the negativity of the company. Therefore, in order to maintain a competitive advantage and the positioning of the company, the company must maintain its reputation in order to maintain its trust the consumer has for them.
A company cannot thrive with only achieving either a great brand image or a good reputation. Consumers won’t buy products that they don’t know even if the company has a good reputation. Similarly, consumers won’t buy products that has negative reputation even if the product is great. Therefore, a company needs to create a good business reputation and position itself.