ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -business’ reputation, often measured by goodwill and brand recognition, is crucial for promoting sales, building trust, and increasing customer loyalty.

Detailed explanation-2: -In business, an intangible benefit is a subjective benefit that cannot be touched and that is difficult to quantify or measure. Some examples of these benefits, difficult to quantify in monetary terms, are employee morale, satisfaction, and retention, customer satisfaction, and brand reputation.

Detailed explanation-3: -The intangible benefits, sometimes also called “soft benefits”, are the profits ascribable to the improvement project that cannot be reported for formal accounting purposes. These benefits are not included in financial calculations because they are not monetary or are difficult to quantify and calculate.

Detailed explanation-4: -Examples of intangible benefits include brand awareness, customer loyalty, and employee morale.

Detailed explanation-5: -Goodwill is a miscellaneous category for intangible assets that are harder to parse individually or measured directly. Customer loyalty, brand reputation, and other non-quantifiable assets count as goodwill. Goodwill cannot exist independently of the business, nor can it be sold, purchased, or transferred separately.