Imagine You Have Overheard the Owner of a Medium-Sized Manufacturing

question 113

Multiple Choice

Imagine you have overheard the owner of a medium-sized manufacturing company saying,"We had a good year,and I think next year will be even better.I'm going to raise this year's promotion budget 4.5 percent based on the increase of last year's gross dollar sales.That will let me do more advertising than the 3.5 percent I budgeted last year." From this information,the manufacturer is using __________ budgeting.

• A)percentage of sales
• B)competitive parity
• C)all-you-can-afford
• D)objective and task
• E)linear forecast

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Definitions:

Globalization

The process by which businesses, technologies, or philosophies spread throughout the world, leading to increased interconnectedness and interdependence among nations.

Glocalization

Is the simultaneous homogenization of some aspects of life and the strengthening of some local differences under the impact of globalization.

Homogenization

The process of making things uniform or similar, often seen in cultures losing distinct features due to globalization.

Regionalization

Is the division of the world into different and often competing economic, political, and cultural areas.