EOC Chapt 3 Questions

1.  Explain the VIP concept, and compare it to the traditional Four Ps?

The VIP concept involves the model that involves the four P’S . “Value: A core value isthe brand proposal and ultimate reason for its existence and the purchasedecision:. “Identity:This refers to both the visual identity or signals, plus the brand's personality”.“Product mix: The productmix is the product and its attributes”. It all collaborates with Product, Price, Location, and promotion and they all focus with the marketing.

2. Explain the concept of co-branding; give examples?

“CO-BRANDING is the practice of using multiple brand namestogether on a single product or service”. This can consist of a mother brand having other products with another designers name. An example would be Beyonce collaborating with H&M for the summer collection. Another example would be Karl Larfeild collaborating with Versace. All of these co-branding attracts consumers and provides a different service and product to a consumer. It impacts business and also provides some money but also gives some percent to the person that collaborates with the brand.

3. How do licensing and brand extensions compare as growth strategies?

Licensing is “defined as an agreement through which thelegal owner of a brand or a trademark (the licensor) gives another party (thelicensee) the legal rights to use the brand's name and identity (or know how ortheir trademark), in return for a compensation often known as a royalty fee”. It basically gives rights to a to a franchisee to sell the product in its store. Neiman Marcus has many brands that allows the product to be sold in the store. A brand extension is just a range of product to increase under a mother brand or the umbrella.