A brand is much more than an organisation. It is a perception that has thrived on ethics and earned the trust of the public. Building a successful and reputed brand requires much more than monetary investment. Companies have taken years to build brands and garnered the trust of customers through their untiring effort. Trust is the most integral part of a brand. How then, should custodians of this intangible perception ensure it is not lost?
Over the years, companies have resorted to outsourcing—of inputs or finished products—to cut costs. A challenge, which has been a bone of contention for them since then, has been trusting third parties with the hard-earned goodwill of their brands. Would these parties operate in the right way? Or will they solely focus on deriving maximum profit without an iota of concern about wreaking havoc on the brand name? These questions have usually received vague responses. Renowned brands, which have a high recall among the masses, face an inherent threat: Being inundated by shadowing brands. There are sections of the market that unscrupulously capitalise on brands to sell their own merchandise: Counterfeiters, grey market suppliers, look-alike manufacturers and scrap dealers.
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