IGCSE, A Level Business Student Forum

Q4. Analyse the advantages of external communication to a business. [6]

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[AN]
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[AN]
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[kn] brand image and reputation
[an]transparent and effective communcation contribute to a positive brand image and reputation and business that communicates ipenl and honestly are more likely to gai trt and credibility from their stakeholder
[an+] thus also improve the loyalty of the business and able to attract more shareholers

[kn] attracting retaining talent
[an] business that communicate heir values ,mission and culture effectively are more likely to attracttop talent
[an+] contributr to employee satisfaction and retention

[KN] Brand Building and Reputation Management
[AN] External communication plays a pivotal role in shaping a company's public image and fostering a strong brand reputation.
[AN+] By consistently delivering clear, consistent, and positive messages, businesses can establish themselves as industry leaders, trustworthy partners, and innovative contributors.

[KN] Customer Engagement and Loyalty
[AN] effective external communication fosters strong relationships with customers, fostering trust, loyalty, and repeat business
[AN+] By addressing customer concerns promptly, providing accurate information, and actively listening to feedback, businesses can strengthen customer satisfaction and encourage brand advocacy.

[KN] Building brand and improving brand image
[AN] A business would communicate to inform them about their brand purpose and the product they are selling
[AN+] This would help the business enhance sales

[KN] Attracting investors by external communication
[AN] This would help the business gain investor confidence and achieve higher investment
[AN+] When the right information is communicated to the investors business reputation would improve

[KN]Developing community relations
[AN]External communication helps businesses build community relationships. By sharing information and updates about the company’s activities,
[AN+] businesses can create a positive image and build trust with the community.

[KN]Relations with suppliers
[An]External communication helps businesses to maintain good relations with their suppliers. By sharing information about their plans and requirements, companies can ensure a steady supply of goods and services.

[KN] Brand Reputation
[AN] Clear and positive external communication enhances the brand's reputation in the market.
[AN+] A strong brand reputation attracts customers, builds trust, and can lead to brand loyalty, positively impacting sales and market share.

[KN] Employee Recruitment and Retention
[AN] Positive external communication enhances the employer brand, making it easier to attract top talent.
[AN+] A strong employer brand also contributes to employee retention and satisfaction, reducing recruitment costs and improving overall workforce quality.

[KN] Better position in the market and shareholders trust increase
[AN] External communication positions the business in the market and engages stakeholders transparently.
[AN+] This helps ro enhance the business's competitive edge, attract investment, and build trust and contributing to long-term success.

[KN] Better Brand Image and improvement in Customer Relations
[AN] External communication, through advertising and relations with customers, builds a positive brand image and builds customer relationships.
[AN+] A strong brand image and positive customer relations foster trust and customer loyalty, contributing to sustained business success and growth.

[kn] building better relationships with suppliers
[an] ensures suppliers dont switch out to other businesses
[an+] may decrease costs for the business in the long run

[kn] creating a good reputation for itself
[an] by communicating information about its products which attracts new customers and gains an edge over their competitors in the market
[an+] creates a brand image for business and hence increases profits

[KN]builds and maintains customer relations
[AN] businesses can build loyalty, increase customer retention
[AN+] this leads to increased sales and higher profits

[KN]improves brand image
[AN]helps in building trust and credibility in the market.
[AN+]gaining a competitive advantage, attracting customers, partners, and top talent, while also mitigating the impact of negative publicity or crises.

[KN] Brand Reputation
[AN] Clear and positive external communication enhances the brand's reputation in the market.
[AN+] A strong brand reputation attracts customers, builds trust, and can lead to brand loyalty, positively impacting sales and market share.

[KN]builds and maintains customer relations
[AN] businesses can build loyalty, increase customer retention
[AN+] this leads to increased sales and higher profits