Question : Which of the following statement is correct?
Statement 1: Creating productive differentiation is the function of labelling
Statement 2: Branding makes the advertising of the product easy.
Option 1: Both are true
Option 2: Both are false
Option 3: Statement 1 is true and statement 2 is false.
Option 4: Statement 1 is false and statement 2 is true.
Correct Answer: Statement 1 is false and statement 2 is true.
Solution : The first function of branding is creating differentiation in similar products of different companies. Creating product differentiation is the function of branding. Branding makes the advertising of the product easy. A sales manager can give general information about a product without the brand name but cannot increase the sale of his product.
Hence, option D is correct.