A Marketing Manager at an Auto Company Computed Its Promotion-To-Sales

question 288

Multiple Choice

A marketing manager at an auto company computed its promotion-to-sales ratio,that of the major competitor,and the auto industry itself.She found that the company's ratio was

• A) she was spending too little on promotional efforts.
• B) she needed to explain these numbers to her boss, especially in relation to the industry.
• C) the competitor shortly would be taking market share from the company.
• D) she spent her promotional dollars effectively.
• E) overall the industry was wasting money on ineffective sales promotions such as cash-back offers.

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Definitions:

Logarithmic Approach Formula

A mathematical method that uses logarithms to solve problems or equations, often applied in growth calculations or when dealing with rapidly increasing or decreasing quantities.

Exponent

A mathematical notation indicating the number of times a number, known as the base, is multiplied by itself.

Learning Curves

Theoretical models that represent the rate at which people learn and improve with experience, often leading to decreased costs and increased production efficiency over time.