Why Do Many Brands with a Large Market Share Spend

question 184

Multiple Choice

Why do many brands with a large market share spend proportionally less on advertising compared to brands with small market share?

• A) Beyond a certain volume of promotion,diminishing returns set in.
• B) Certain industries have a practice of spending a low amount of dollars,relative to sales,on advertising.
• C) There is no minimum level of exposure for advertising to have an effect on sales.
• D) Advertising will not stimulate economic growth for the industry.
• E) The firms with large market share do not have to advertise anymore.

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Definitions:

Demographic Characteristics

Specific attributes that describe segments of the population, such as age, gender, income, education level, and ethnicity.

Organizational Force

The capacity or power of an organization to influence or drive changes, decisions, or outcomes within its domain.

Marketing Campaign

A strategized effort, conducted through various media platforms, aimed at promoting a product, service, or brand to reach the target audience and achieve specific business objectives.

Resistance To Change

The unwillingness to accept or support modifications in the workplace.