Which Method of Developing a Marketing Communications Budget Establishes a Ratio

question 189

Multiple Choice

Which method of developing a marketing communications budget establishes a ratio of advertising dollars to sales or market share then reduces the percentage as sales build and the product obtains market share?

• A)Arbitrary allocation
• B)Meet-the-competition
• C)Payout planning
• D)Quantitative models

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Definitions:

Payment

The transfer of money from one party to another in exchange for goods, services, or to fulfill a legal obligation.

Account

A record or statement of financial expenditure and receipts relating to a particular period or purpose.

Terms

The components of an algebraic expression that are separated by addition or subtraction signs.

Trade Discount

A reduction in the retail price offered by sellers to buyers in the trade as an incentive or reward for buying in bulk or meeting certain conditions.