Which of the Following Statements About Local Advertising Is True

question 2

Multiple Choice

Which of the following statements about local advertising is true?

• A) Retail advertising is always local.
• B) Franchisees of national companies do not engage in local advertising.
• C) Local advertising is critical because most consumer sales are made or lost locally.
• D) There are two categories of local advertisers.
• E) Ninety percent of the money advertisers spend each year is spent on local advertising.

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Definitions:

Minimize The Cost

A strategy aimed at finding the most effective way to use resources to reduce expenses to the lowest possible level.

Cost Per Unit

The total cost associated with producing one unit of a product, including fixed and variable costs.

Economic Profit

The disparity between what a company earns in total and what it spends, counting both direct and indirect costs.

Self-Interest

The motivation driving individuals to pursue their own benefits or advantages, often considered a fundamental economic assumption.