advertising

Nowadays, advertising is a very big business. Very often is the major means of competing among firms. Furthermore, supporters of advertising claim that it brings specific benefits for consumers. First off all, they claim that advertising provide information to consumers about the quality or the availability of several products. This is very important for consumers because they do not waste time for searching (search costs). If we suppose, that consumers want to shop at the …

…reveal! truthfully to consumers certain information about their products”. It is quite easy then to understand that society would gain if uninformative or false information banned. Finally, we can say that ‘skepticism’ by consumers discourages false or uninformative advertising. It is very important for the society to collect only the appropriate information about several products. In a world with informative advertising, goods are much better and producers as well as consumers gain more. ------------------------------------------------------------------------ **Bibliography**