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I need some data about "How communication and strategies help us to get goodwill in a business". It should be in a brief form with some good examples.
Goodwill in a business refers to the the positive feelings and assessment about a company and its products among its customer, suppliers, shareholders and other stakeholders. Goodwill enables a company to increase the volume of its business at more favourable terms. Goodwill implies a feeling of trust people have in a company, its products, and its dealings in general.
A business firm with high goodwill is in a better position to increase its business and its profit, therefore the amount an investor will be willing to pay for acquiring the business is like to contain a premium over and above the value of its tangible assets. In accounting terms, goodwill refers to this additional worth of a company.
The goodwill of business develops out of its past performance in terms of its product and its dealing with stakeholders. Goodwill relates to the business as a whole and not separately for different activities such as communication. Therefore it will not be entirely correct to talk of goodwill in "business communication".
Basically goodwill is created by business performance. Communication can help to a limited extent by presenting the company in a better light. However, communication by itself cannot create goodwill for a company with poor product quality and untrustworthy business dealings.
Communication can help to enhance the goodwill of a company in several ways described below>
- Increase the awareness of the company and its products.
- Create a favourable image of company's product and services in terms of quality and reliability.
- Create a positive image of the company as a whole. This may include emphasizing several aspect of the company and its dealings - for example, honesty, social responsibility, concern for its customers and other stake holders, fair dealings, and technological leadership.
Effectiveness of communication depends on many factors such as number of people exposed to communication, how well the message has been presented, and the timing of communication.
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