Eli5 How does a huge sum of a company’s money used for marketing really help in the long run?

Question

Eli5 How does a huge sum of a company’s money used for marketing really help in the long run?

In: 16

Answer 1

Why do people pick up Coke or Pepsi rather than cheaper other brands in the shop? For the most part they probably haven’t done carefully blind tasting comparisons and concluded that they prefer the expensive options; they just grab something the recognise. Why do they recognise it? Because those brands have spent fortunes on marketing over the years.