Price different depend on brand Research Paper Example | Topics and Well Written Essays - 2000 words

Price different depend on brand - Research Paper Example A brand refers to a name, sign, symbol, term, or design, or a combination of them, which identifies and differentiates products of one firm from those of others (Breward, 2003). Branding refers to the marketing practice involving creation of names, symbols and designs that identify and differentiate an organization and its products from others. Price differences in the fashion industry depend on the value attached to brands by consumers. This paper aims at studying the impact that brands have on prices in the fashion industry. Prices of various fashion products in the industry often tend to depend on the type of brands themselves. Valuable brand often have the highest prices while less valuable brands often cost cheap. This essay therefore aims at studying the impact of branding in the fashion industry on prices of commodities and services in fashion. Research question how do brands contribute to the differences in prices of products in the fashion industry? Industry overview The fas hion industry is one of the largest industries in the global economy. The industry mostly depends on the availability of disposable incomes among individuals, since most fashion items are considered luxuries. Fashion is part of the popular culture and the latest and best fashion trends are often portrayed in movies and film, music, fashion show and concerts as well as in advertisements in the media. The latest fashion trends and designs are often promoted by respected celebrities and public figures, who often influence peoples buying decisions in the fashion industry. Some of the popular fashion brands in the US and across the world include; Louis Vuitton, H&M, Dolce and Gabana, Kelvin Klein, Christian Dior, Levi Strauss, and Richemont among others. The impact of brands on product prices Branding is very important in the fashion industry since people like to be associated with valuable brands. Fashion brands give consumers certain social classes and they would want to be seen wearin g clothes and other accessories with notable and valuable brands. Prices of brands in the fashion industry will therefore vary according to the value that consumers attach to the particular brand. Most fashion companies therefore endeavor to push their brands to the level that they can attract more consumers who can be loyal to them (Breward, 2003). Demand for most fashion products is different from that of other goods and services because for most fashion products, an increase in price does not lead to a decrease in demand, as it is the case with products in other industries. With a loyal base of consumers, the companies can always manipulate the prices and still manage to attract more consumers(Steele, 2000). ABranding process involving research, defining and establishing brands that consumers can relate, associate and identify with. Brand identity is a very important element of branding and marketing in general. It refers to the ability of target consumers to identify with and re late with a particular brand. Brand identity has to do with the ability of a particular brand to get noticed among the targeted consumers. This therefore includes the packaging process and publicity accorded to the brand through advertising, CSR and sponsorship (Steele, 2000). Fashion brands can increase their brand identity through advertising, engaging with the community through CSR activities, sponsoring various events and having a great presence