Advertising plays a very important role in social and economic life and is a powerful means to regulate economic activities. It plays an important role in promoting production, expanding circulation, guiding consumption, prospering economy and promoting international economy and trade.
First, the role of advertising in the development of market economy
Advertising is the product of commodity economy, the propeller of commodity economy or market economy, and the bridge and link between production and marketing. The most essential feature and basic function of advertising is to spread information. In the modern market economy society, without economic information, it is difficult for social reproduction to proceed normally. As an organic part of economic information, advertising information plays an important role in promoting commodity production and circulation. Advertising conveys the information of enterprise production and sales to consumers, and all kinds of service information to the public, so that consumers can understand various market conditions and decide their own consumption choices. Producers also obtain market information through advertisements and other means. Advertising activity is a process of constantly transmitting all kinds of information and information feedback. Advertising can greatly enrich and enliven the market, accelerate the exchange and circulation of resources, and open information makes people's choices tend to be fair and reasonable, reducing and reducing various costs, thus improving economic benefits. It can be seen that advertising, as an indicator and regulator of market supply and demand, constantly realizes the connection between production and production, production and circulation, production and consumption, and circulation and consumption, which has become an indispensable condition for the smooth progress of social reproduction. At the same time, advertising is also the catalyst and accelerator of social production, which accelerates the process of social reproduction. Advertising is one of the fastest ways to spread information, and the invention of any new communication tool will soon be used by advertising. The speed of advertising is unmatched by other promotion methods. If there is no advertisement to communicate the supply and demand information of goods and services, not only the circulation cost will double, but also the prices of goods and services will increase, and even the circulation process will be interrupted because of information barriers, thus affecting the normal reproduction of society. We should also see that advertising is conducive to competition, which is the essential feature of market economy and the objective law and supreme authority of market economy society. Through competition, market players will continue to innovate, thus promoting social and economic development. Advertising is a declaration of competitors, announcing to join the ranks of market competition; Advertising is the weapon of competitors. Only by ensuring consumers can we establish credibility and occupy the market for a long time. The success of advertising marks the victory of competition, and advertising plays a very important role in promoting competition and promoting the development of market economy.
As a knowledge-intensive, technology-intensive and talent-intensive high-tech industry, advertising industry is the product and symbol of highly developed market economy, and its development level is one of the important symbols to measure the economic development level of a country or region. Generally speaking, the more developed the economy, the higher the advertising expenditure. According to a report published by Washington post, USA, citing the Joint Development Agency, in 1997, the advertising expenditure of global enterprises to promote goods and services was $4 1 300 million, while that of the United States was $0/06 billion, ranking first in the world, while that of Japan was $4.8100 million, that of Germany was $24.4 billion and that of Britain was/kloc-. China ranks eighth in the world with US$ 6.7 billion. [1]1In 1998, the United States spent as much as $79.3 billion on media promotion, and the per capita advertising cost was more than 100 times that of China. Since 1990s, the advertising turnover in China has increased by about 45% every year. This not only shows that China's market economy is developing rapidly, but also shows that advertising is playing an increasingly important role in China's economic development. The development of advertising is conducive to promoting the commercialization of China products; Promote the transition from immature market economy to mature market economy; Promote the formation of a unified market in China.
Second, the role of advertising in the survival and development of enterprises
Advertising is the bridge between production and marketing, and the producer of consumption desire; It is the "invincible promotion" of the enterprise. Doing business without advertising is like winking at girls in the dark. You know what you are doing, but others don't. Coca-Cola Company has a motto: "Success lies in advertising". Advertising is a powerful means to promote the transformation of individual labor into social labor, which is conducive to the transformation of individual value of goods and services into social value, thus completing the "thrilling leap" of goods and services into money. Therefore, advertising plays a vital role in the survival and development of enterprises. Its specific performance has the following aspects.
1. Advertising is one of the sources for enterprises to obtain market information. Through advertising, we can learn about production development, price, market situation, competitors' information and market resources, and provide basis for enterprise decision-making and planning.
2. Advertising will make enterprises feel external pressure more deeply and timely, and play an important role in promoting enterprises to adopt new technologies and equipment, strengthen management, speed up product upgrading and enhance competition awareness. Advertising is not everything, and advertising is not everything. However, the information fed back by enterprises through advertisements will eventually improve the production level and the quality of goods and services. Therefore, advertising is also of great significance to the improvement of the overall production level and management level of enterprises.
3. Advertising plays an important role in improving the visibility of enterprises and products, shaping corporate image and improving corporate reputation.
Advertising plays an important role in maintaining and expanding the market share of enterprises. In China, Guangdong Jianlibao Group first relied on advertising to open up the situation and realized the leap-forward development of enterprises. Jianlibao Group was originally an unknown township enterprise in Sanshui County, Guangdong Province. Win glory for our country with China athletes at the 1984 Los Angeles Olympic Games. Soon, twelve national teams, including China women's volleyball team, signed long-term contracts with Jianlibao to provide drinks for the national team free of charge for a long time, which meant that Jianlibao had to pay 240,000 yuan a year, equivalent to the total profits of Jianlibao, which was also called Sanshui Winery at that time. 1986, during the 6th National Games held in Guangzhou, Jianlibao once again took out a huge sum of 2.5 million yuan, equivalent to the annual profits of several large enterprises in Sanshui County, to buy out the advertising space in the sports venues and launch a large-scale advertising campaign. As a result, in the second year's ordering meeting, in just two hours, the total order amount reached 200 million yuan, and the sales in that year reached 270 million yuan, which was unexpected by Jianlibao people themselves. 1995- 1997, the lowest growth rate of corporate advertising sales in prime time of China CCTV is 7%, and the highest is more than 10. Weiwei soybean milk invested 1 billion yuan in CCTV for four consecutive years, and the sales of 1997 reached more than 2 billion yuan. Consumers generally believe that the advertised goods are trustworthy, not only because advertisers are responsible for the advertised goods, but also because they believe that the advertising enterprises have economic strength.
5. Successful advertising can reduce the cost level of enterprises. Because the cost of advertising is constant, the role of successful advertising in reducing costs is very obvious. Through successful advertising, products can be widely known and sold in large quantities, thus reducing production and sales costs. For example, a Japanese company, in order to make its color photographic film occupy the American market, spared no expense to buy the advertising rights of the Los Angeles Olympic Games, making "Fuji" color film the designated product of the Los Angeles Olympic Games. As a result, the proportion of "Fuji" color scrolls in the American color scroll sales market has greatly increased, and its long-term economic benefits far exceed the advertising expenses. [2]
6. Advertising can promote the relatively overstocked goods of enterprises. The People's Daily once reported that a daily-use chemical factory in Qinghai produced a toothpaste to prevent colds, which proved to be very effective. A large number of products were unsalable due to lack of knowledge, forcing the factory to stop working. Through advertising, customers all over the country went to place orders, which brought vitality to this factory. [3]
Whether an enterprise's goods can finally achieve long-term and stable sales effect and profit depends on the quality and reputation of the goods themselves. Quality is the foundation and key of goods and services. Without excellent quality, it is impossible to be competitive and will be eliminated. Market economy forces commodity and service operators to carry out quality consciousness in production, operation and management activities with iron inevitability. If an enterprise does not work hard on the quality of goods and services, completely "pin" its hopes on the role of advertising, or even engage in advertising fraud, it will only "break its head" and bring about its own destruction. Of course, the view that "the wine is not afraid of the depth of the alley", "the emperor's daughter is not worried about marriage" and that there is no need to advertise if the goods are of good quality is the performance of the closed and backward thinking of the natural economy, and it is also a biased understanding formed under the long-term planned economy system in China. This view can no longer meet the needs of the development of modern market economy, and the lack of this strategic vision will cause immeasurable losses to the future survival and development of enterprises.
Third, the role of advertising on consumers.
Advertising is the fastest, most economical and most extensive circulation channel to convey product information and market information to consumers, which has an important impact on consumers' consumption concept, consumption psychology, consumption structure and consumption behavior.
In modern production and life, advertising, a special consumption information and circulation channel, is indispensable. When consumers know nothing about goods and services, advertisements give consumers a comprehensive introduction about goods and services and help them better understand them. When consumers know something about goods or services, but have not yet formed their own real consumption needs and habits, advertisements help them understand the purpose and effect of goods and the situation and extent to which goods meet consumers' needs, and help them understand the quality and effect of services, thus helping consumers form their demand for goods and services; When consumers form consumption demand, advertisements help consumers to know where to buy goods and receive services, and other information about buying goods and receiving services, so that consumers can buy satisfactory goods and receive satisfactory services quickly, timely and conveniently; When consumers form consumption habits, advertisements can help consumers understand what kind of goods and services are more suitable for their own needs. Advertising can also help consumers change their outdated consumption habits, promote new consumption ideas and concepts, and form new consumption habits and fashions with its unique propaganda methods and artistic techniques. Although people's objective needs play a decisive role in people's consumption, the role of advertising can not be ignored. It exerts a subtle influence on people's consumption behavior, just like a drop of water wears away a stone. It can really be described as "sneaking into the night with the wind, moistening things silently." Wahaha enterprises in Hangzhou, when the new products just entered the market, took how to make their children eat well, which is the most concerned issue of parents, as a complaint point and put out a simple and attractive advertisement: "Drink Wahaha and eat well." As soon as this new product was put on the market, it attracted consumers, touched the hearts of hundreds of millions of parents, and made it sell well all over the country with strong impact, which greatly increased the benefits of enterprises. Advertising not only facilitates consumers' consumption, but also allows consumers to enjoy cheap media in their lives; Advertising not only changes people's concept of work and life with new information, but also cultivates people's sentiment with beautiful artistic techniques and inspires people's yearning and pursuit for good things and a happy life. Advertising also beautifies our living environment and makes our living space colorful. The world without advertisements can only be a bleak world.
Fourth, the role of advertising in promoting foreign trade.
Advertising also plays an important role in exchanging international business information and promoting the development of foreign trade. Through advertising, we can learn about the information, new changes and new demands of the international market and all kinds of advanced production technologies, so as to adjust the industrial structure in time, adopt and introduce new production technologies and processes, improve the production efficiency and quality of domestic products, make our products better adapt to the needs of the international market and improve the competitiveness of domestic products in the international market. At the same time, promoting China products and introducing China famous products through international advertisements can promote the development of foreign trade.