Which of the following is a weakness of the percentage- of- sales method of establishing the promotion budget?
A) The percentage- of- sales method of establishing the promotion budget discourages promotional wars.
B) The percentage- of- sales method of establishing the promotion budget assumes the competition knows what it is doing.
C) The percentage- of- sales method of establishing the promotion budget ignores the role of promotion as an investment in the business.
D) The percentage- of- sales method of establishing the promotion budget is a complicated, time- consuming process.
E) The percentage- of- sales method of establishing the promotion budget leads to a budget that ignores market opportunities.
Correct Answer:
Verified
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