Absolute advantage is one when a country produces a commodity with the best quality and at a faster rate than another. On the other hand, comparative advantage is when a country has the potential to produce a particular product better than any other country. Due to the effect of globalization, one can enjoy Brazilian coffee, while living in the United States or go for a drive in a German car, on the roads of London. International trade helps the countries to expand their market and sell the … [Read more...]

An entrepreneur is someone who locates the need of society and tries to meet the same, with his/her innovative idea. On the other hand, 'entrepreneurship' which refers to the process of establishing a business entity, intending to get profit, as a return in the future. You might have heard the names like Bill Gates, Jeff Bezos, Steve Jobs, Mark Zuckerberg, Larry Page, Jack Ma and many more, for their innovative and unique products given by them to the society. They are not businessmen, rather … [Read more...]

In a product layout, the machines, material and other facilities are placed as per the order of processing. It is often used when the production is to be performed on a large scale. Process layout is a type of plant layout wherein like machines are grouped in a single department. It is primarily used when the production process is non-repetitive in nature. The layout is an important concept of operations management, which implies the systematic organization and grouping of facilities and … [Read more...]

Multilevel Marketing is a marketing strategy in which companies recruit distributors to sell their products and services to the people and also encourage others to join the company as a distributor and earn a commission, by selling the products further and inviting others to work. Multilevel Marketing is commonly confused with Pyramid Scheme; wherein one pays to join and become an agent of the scheme who get paid for recruiting others into the system and thus widening their network. One of … [Read more...]

A brand is not just a name, logo, design, symbol or combination of them, that helps the consumer in identifying the origin of the product, but it is much more than that. A brand is a promise, feeling, expectation and experience. A point to ponder, relating to the brand is that Brand equity is not equal to brand value. Brand equity is consumer focused, as its value is derived from consumer's perceptions, experiences, memories and associations concerning the brand. On the other hand, brand … [Read more...]

There is a slight but significant difference between registered and unregistered trademark which lies in the protection provided by the registration. As the name suggests, a registered trademark is one which is registered, so it enjoys several rights and benefits, which are not available to the unregistered trademark. Trade Mark refers to intellectual property, that ensures protection to the owner of the mark, with respect to the exclusive right to use it, or to authorize another … [Read more...]

The words packing and packaging often confuse us, as they play a very significant role in the field of Marketing and are used in the context of covering or wrapping the product for proper storage and transportation. While packing is more about protection, the packaging is focuses on the design and appearance of the product which makes it attractive. So, packing implies the act of covering up the item or product, to protect it from any damage, whereas packaging refers to a set of activities, … [Read more...]

Market implies an area where buyers and sellers meet and trade with one another either directly or through middlemen to determine the price of the particular product, by demand and supply forces. There are various forms of the market that vary in their nature, structure, size, etc. The term industry is often misconstrued with the market, however, the industry is just one of the component of the market. Industry alludes to a set of firms that are engaged in the same type of business activity, … [Read more...]

The term branding refers to the process of equipping the products and services with brand power, to create a line of demarcation between company's product and other products in the market. In this context, the terms brand identity and brand image are quite commonly juxtaposed. However, they are different. While a brand identity is how the brand owner defines his brand, brand image determines how the ultimate consumer perceives the brand. In other words, the brand identity can be the logo, … [Read more...]

The principal difference between import and export is that import is that form of trade in which goods are bought by a domestic company from other countries for the purpose of selling it in the domestic market. On the other hand, export implies a trade in which a company sells goods to other countries which are manufactured domestically. Trade refers to that branch of commerce which deals with the sale, transfer or exchange of products and services for a money consideration. It also aids in … [Read more...]