To Demonstrate That an Increase in Advertising Causes a Sales

question 5

Multiple Choice

To demonstrate that an increase in advertising causes a sales increase,one must be able to show that the increase in advertising occurred before the increase in sales.Which of the preconditions for causation is being illustrated?

• A)correlation
• B)appropriate time order of occurrence
• C)elimination of all possible causal factors
• D)elimination the effects of the independent variable
• E)none of the above

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Definitions:

Environmental Scanning

The process of systematically gathering, analyzing, and interpreting data about trends, events, and relationships in an organization's external environment to identify opportunities and threats.

Market Segments

Subsets of a market made up of people or organizations with one or more characteristics that cause them to demand similar product and/or services based on qualities of those products such as price or function.

Marketing Mix

The combination of factors that can be controlled by a company to influence consumers to purchase its products, including product, price, place, and promotion.

Market Fads

Short-lived trends or crazes in the marketplace that can suddenly explode in popularity but fade away just as quickly.