What are two benefits of a USP (unique selling point) for a business like Coca Cola?

One benefit may be that Coca-Cola can differentiate themselves from competitors. This means that customers will have a unique perception of their product compared to those of competitors like Pepsi, and could result in higher brand loyalty. Higher brand loyalty can lead to higher sales and an improved net profit.A second benefit may be that Coca-Cola can enjoy a more price inelastic demand, meaning that demand is less sensitive to changes in price. As customers are willing to pay more for a unique brand, Coca-Cola may charge a higher price and increase total revenue, potentially improving net profits as well.

WR
Answered by William R. Business Studies tutor

6028 Views

See similar Business Studies GCSE tutors

Related Business Studies GCSE answers

All answers ▸

Please define marketing mix. What is its importance for business?


What are the forms of business ownership?


Explain one benefit of providing induction training for employees.


Explain one disadvantage of using on overdraft as a source of finance for a small business? Provide 2 alternative sources of finance


We're here to help

contact us iconContact ustelephone icon+44 (0) 203 773 6020
Facebook logoInstagram logoLinkedIn logo

MyTutor is part of the IXL family of brands:

© 2026 by IXL Learning