Be it commercials and brochures, radio and TV advertising, or sponsorship – advertising is an essential element of everyday culture and has numerous positive effects on the community. Commercial communication not only strengthens the market economy but the labor market and the consumers themselves benefit as well. Because of advertising activities, https://www.forextraders.com/forex-brokers/ can reach investors worldwide.
Advertising finances the media
Another function of advertising goes hand in hand with a complex effect for each individual consumer as well as society as a whole: advertising partially or completely finances media. Without this funding pillar, on the one hand, the usage costs for media would skyrocket, on the other hand, the media diversity would also be significantly restricted. As a result, the media would not be able to fulfill their basic function of informing, contributing to the formation of opinions through criticism and discussion, and enabling participation to the current extent. In addition, access to different sources of information and opinions would be restricted, which is of crucial importance for a democratic community. The media industry could not exist without advertising.
In addition, the advertising industry supports cultural events and political activities as part of a sponsorship. And in the online area too, the advertising industry finances countless services that are used by a large number of consumers from all walks of life.
Why advertising works as an economic engine
Advertising is a driving force in the economy that drives competition. Because advertising provides consumers with service and product information that expand their selection and thus enable them to make informed purchasing decisions. In addition, advertising is a driver of innovation. In order to be able to compete with competitors in the market and win the favor of customers, companies must continuously develop improved and more innovative services and products. The emergence of new markets, but also growth in existing industries, is therefore hardly conceivable without advertising. In addition, advertising has a significant direct economic effect.
An indirect result of advertising in the economy
The advertising industry also has a clearly positive effect on the labor market. In addition to the area of direct advertising production, this also includes jobs in online and media companies that are financed through advertising, as well as positions that were created as an indirect result of advertising activities in the economy.