Different Types of Advertising in Business - Assignment Example

How can advertising assist in the growth of any business? Submitted by…………… Submitted to……………… Roll No………………… ………………. ………………… College/University………………………. Contents: 1. Abstract. 2. Justification. 3. Introduction. 4. What is business? 5. Why should a business grow? 6. What things can help a business grow? 7. What can advertising do to help a business grow? 8. What types of advertising are there? 9. What specific factors in advertisements promote business? 10. Conclusion. 11. Recommendations. 1. Abstract Business has long been used as a means of making money with maximum leverage to the owner in terms of flexibility of time and cost. Many people own a personal business in addition to the regular job they are employed in. This provides them with an opportunity to invest what they earn through job in a profitable manner. This paper elaborates various aspects of business and explains how is it for a nation. Furthermore the role of advertisements in promoting business is evaluated. The paper also provides a brief explanation of the various types of advertisements and their association with business. 2. Justification: The paper provides a comprehensive understanding about the business and role of advertisements in enhancing business to the reader. Business entrepreneurs need to comprehend the usefulness of advertisements in the growth of business. This paper elaborates various types of advertisements. Entrepreneurs can gain a very good idea of what kind of advertisement can suit them best given their respective conditions, capital and locality. How can advertising assist in the growth of any business? 3. Introduction: Business is a very essential component of the economical structure of a country. It is fundamentally considered as a symbol of progress and financial strength of a country. There are various kinds of businesses and their scope depends upon the investment of the owner. Also, businesses can be limited to the homeland of the businessman, or else, it can also be spread across different countries. There is a very strong link between business and advertisement. Advertisements are utilized as a means to spread awareness about the new outlets or innovative products of a business. The audience considers advertisement a viable means of news and follow the advertisement for gaining general knowledge about the business. 4. What is business? Business is essentially a circulation of capital made with an intention to earn profit on the initial investment. “It could be called capitalism in its purest form.” (conjecture corporation, 2010). Conventionally, business is thought of as an activity that may be done in addition to one’s job so that the money earned through job can be invested in a profitable manner. People tend to own their businesses as per their capacity. Business is indeed, the best means of earning money because it provides the businessman with a leverage to run it as per his convenience and choice. However, the chances of profit or loss are almost always equal in any business. Communication in a business is quite formal and to the point. “Business Communication is goal oriented.” (Management Study Guide, 2009). Business is essential to ensure a balanced flow of cash in the society. 5. Why should a business grow? Businessman’s interest: A business has to grow in order to meet the growing demand and expectations of the customers. When one starts a business as a company, demand of the product or the service is low as not many people are aware of the quality offered by the company. Hence, it does not make any difference even if the scope of business was limited. However, businesses are run to make money and are thus, meant to expand so that the profits can be maximized. Through the consistency in maintenance of the good quality, the number of customers keeps on rising. While it is important for a businessman to understand the importance of delivering quality, it is equally important to ensure a good supply so that the growing volume of customers can be fully entertained. This calls for a need to expand the business so that the increasing demands of the pupils can be addressed. An entrepreneur must seek useful information and training before starting over with a new business. (Travers, 2009). National interest: In addition to the businessman’s perspective mentioned above, growth of a business is also very important for the economical strengthening of a nation. Limited business would provide limited service, yet the needs of the nation continue to grow with the increase in population. Needs of the remaining consumers can not be met without importing the service in exchange of money. Outflow of capital causes the national economy to degrade. Therefore, growth of a business is beneficial not only for the local businessmen, but also the nation as a whole. Also, money earned by the businessmen remains in the country as they tend to invest more to expand the business. Ultimately, with the growth of business, the socio-economic health of a nation is guaranteed. 6. What things can help a business grow? Growing a business requires careful planning and right decision making skills on the part of the businessman. In order to grow a business, one requires more capital investment. The more the investment, the larger the business becomes. It is not always possible for an individual to have that additional investment that the business requires to expand. However, such situations can be dealt with by incorporating other members into the business. It is commonly referred to as joint-venture business. It is a business in which the business shares his business with other members and the ownership is equivalent to the members’ respective share in the investment. It is always a good idea to expand the business by opening branches at other locations in addition to the base location in which the business was originally started. What matters a lot in such cases and is perhaps, the most decisive factor in the growth and success of a business is the stakeholders in the area in which the business is established. Entrepreneurs make use of Business Intelligence (BI) which is basically an umbrella term for the processes, mechanisms and means used by businessmen to acquire a better understanding of the knowledge required for expanding a business. (McCabe, 2010). A businessman should be very cautious about the selection of location for the business and should carry out an in-depth analysis of the mentality and attitude of the local people before finalizing a particular location. One should ensure that there is a scarcity for the nature of service the business would provide in the location chosen for establishing new branches. Besides, there should be healthy competition. However, one must ensure that in the initial stages, prices should be kept as low as possible in order to draw customers’ attention and affection with the service. Gradually, as the business grows, profits can be maximized yet the quality of service should always remain best. 7. What can advertising do to help a business grow? Advertising plays the most fundamental role in the establishment, growth and success of a business. Whenever a business is established, the biggest challenge in front of the owner is to earn customers. People living in the locality of the business are attuned to already established companies and many potential customers are reluctant to leave the company they have stuck to for long. It is indeed, a big task to draw the people’s attention towards the new company in the market. The company must have something different and unique to offer that is not quite common or approachable to the people. Therefore businessmen tend to come up with new concepts and ideas in order to address the people’s needs in the best possible manner. However, how should one spread the message among the community that one’s service is better than others’? There obviously has to be a forum through which people can be educated on the usefulness of the new competitor in the market. This is the purpose served by the advertisements. Advertisements serve to spread the general awareness about the company, the usability of its product of service and its supremacy in the most convincing manner. Advertisements are an established means of learning about new products in the market and people look forward to useful products by listening to their advertisement on televisions, radios or on the billboards. 8. What types of advertising are there? According to (Manohar, 2010), advertising can be categorized into the following types: 1. Print advertising. 2. Outdoor advertising. 3. Broadcast advertising. 4. Covert advertising. 5. Surrogate advertising. 6. Public service advertising, and 7. Celebrity advertising. Print advertising particularly refers to the advertising that is done through print media that involves but is not limited to newspapers and magazines. Sometimes, ads are published in the fliers that are randomly distributed to spread the awareness about a new company or service. Clients are charged depending upon the area of coverage in the paper and the readership of the paper in general. In outdoor advertising, products are advertised on billboards, screens, kiosks and in shows organized by the company. Broadcast advertising covers the advertisements displayed on televisions, radios and internet. Clients are charged as per the length of advertisement and the time of broadcasting. Lengthy advertisements broadcast in peak times will cost more than short advertisements in the same time. Covert advertising is different in that it is not projected as normal advertisements, but is instead advertised on the shirt of a celebrity or in the tag displayed on a certain product used in some movie or a theatre. Surrogate advertising is made use of by companies which are legally forbidden to advertise their product because of its harmfulness. Such companies use the same forbidden name for new products that are not legally banned, yet indirectly remind the customers of the formerly banned product. Surrogate advertising is specifically used by the cigarette brands in countries where smoking is forbidden legally. Public service advertising, as the name implies, serves to spread awareness among the public about diseases like AIDS and their treatments that are of particular interest benefit to the society. Similarly, the name “celebrity advertising” speaks much about the nature of advertising. It can be any type of advertising provided that the advertisement is done by celebrities in their songs, acting or accessories. 9. What specific factors in advertisements promote business? Advertisements make use of catchy phrases and suitable images accompanies with appropriate musical theme. Advertisements are strategically designed to promote the business by incorporating images, captions, stars and advertising mediums that are deemed most appealing towards the audience. Celebrities play a major role in promoting business through advertisements. That is why, many celebrities are chosen as the brand ambassadors all over the world for various kinds of products. Multinational companies are aware of the popularity of celebrities among the masses and they take advantage of people’s association with the celebrities. People fancy celebrities and many find their ideals and role models in celebrities. Such fans are easily convinced and take little time to be confident about the quality and durability of the accessory worn by the celebrity. Advertisements are considered as a forum to introduce new arrivals in any area in the market. Often, an entrepreneur would make use of advertisements to convey that he/she has opened a new outlet at a certain location. People adhere to that because advertisements are commonly acknowledged as a reliable means of information. Other factors in advertisements that promote business include but are not limited to their frequency, massive availability both within home in televisions and on roads on billboards, catchy statements, eye-catchy color combinations, and music suited to the theme of the advertisement. All of these factors jointly work to make an advertisement worth paying attention to. “If one person can visualize an advertisement before a line of copy is written or drawn, a mighty step toward unity has been taken.” (Durstine, 2010: 21). 10. Conclusion: Business maintains the socio-economic strength of a nation. It is vital not only for the individual who owns the business, but also for the whole nation that benefits from its services. Business helps keep the money invested in the homeland and thus, maintains the economical power of a country. Advertisements are the most appropriate means of enhancing business in that people take advertisements as a trustworthy means of information. Advertisements make use of strategic approaches to get the audience convinced. Advertisements vary in type, and purpose depending upon who is starred in the advertisements, where the advertisements are projected and what message they convey. 11. Recommendations: Although business undoubtedly plays an important role in upgrading the quality of life of a nation, yet an entrepreneur needs to identify national needs before starting a business. Once started, it is often extremely difficult to convert the business into another form. Given the huge significance of a business to a nation, it is the duty of entrepreneurs to ensure that the business they choose will benefit the nation in the long run. Best practice is to identify new trends in various areas that are emerging all over the world and introduce them into the society by providing the local people with the new product, or facility. References: conjecture corporation, 2010. “What is Business Ethics?” viewed 5 Oct. 2010. . Durstine, RS. 2010. Making Advertisements and Making Them Pay. READ BOOKS. Manohar, U. 2010. “Different Types of Advertising.” viewed 5 Oct. 2010. . Management Study Guide, 2009. “What is Business Communication ?” viewed 5 Oct. 2010. . McCabe, L. 2010. “What is Business Intelligence, and Why Should You Care?” Hurwitz & Associates. viewed 5 Oct. 2010. < http://www.it-analysis.com/blogs/Laurie_McCabe/2010/8/what_is_business_intelligence_and__.html>. Travers, J. 2009. “What is Business Administration.” viewed 5 Oct. 2010. . Read More