Which of the Following Is an Advantage of Using the Percentage-Of-Sales

question 27

Multiple Choice

Which of the following is an advantage of using the percentage-of-sales method to determine the marketing communications budget?

• A) The percentage-of-sales method encourages stability when competing firms spend approximately the same portion of their sales on communications.
• B) The percentage-of-sales method views sales as the determiner of communications rather than as the result.
• C) The percentage-of-sales method leads to a budget set by market opportunities rather than the availability of funds.
• D) The percentage-of-sales method encourages experimentation with countercyclical communication or aggressive spending.
• E) The percentage-of-sales method encourages building the communication budget by determining what each product and territory deserves.

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Definitions:

Almost Meets

A performance category indicating that an individual or entity is approaching the expected standards or criteria, but has not fully achieved them yet.

Criteria

Standards or principles on which judgments or decisions are based.

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