Marketers That Argue Advertising Is NOT a Barrier to Market

question 29

Multiple Choice

Marketers that argue advertising is NOT a barrier to market entry contend:

• A)large volumes of advertising are necessary to compete in many industries
• B)there are economies of scale in advertising
• C)advertising is only one factor contributing to the large scale effects which are the fundamental deterrent to market entry
• D)in the cereal industry,profits are the highest among the heaviest advertisers
• E)there is no relationship between intensity of advertising and market share

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Definitions:

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