Xerox has the solution to a lagging stock price: A new logo!

Ad executive: "Guys, guys! I got an idea about how we can change the market's perception of our company and move Xerox (NYSE: XRX) into the 21st century."

CEO: "How exciting! A new product? An innovative marketing campaign?

Ad executive: Even better. A new logo.

The new logo (shown at right) marks the first time that Xerox has identified itself with an image rather than just "XEROX." And what a creative image it is: a circle with a little "X" and now "xerox" is written in lowercase! I shudder to think about how much was spent on Madison Avenue PR firms for that bit of marketing genius.

The move is part of a plan to update Xerox's stodgy image -- the stock hasn't been cool since the 1970s.

But according to The New York Times, "But Michael Watras, president of the brand consultancy Straightline International, said nothing short of a name change would wrest Xerox from the grasp of its copier reputation. 'They should have kept the Xerox brand on some products, but renamed the company.' he said. 'Without that, this is money poorly spent. If I were a shareholder, I'd be outraged.'"

I'm inclined to agree with Mr. Watras. When your name is used as a verb meaning to copy, it's hard to get past the image as a copy company with a simple logo change.