Norma has been given the responsibility of determining the advertising appropriation for her firm's newest marketing campaign. At first she thinks that determining the advertising objectives and breaking them into tasks is the best way. However, Norma notices that past sales have been relatively constant, she multiplies the firm's past sales by a standard percentage based on what her firm usually spends on advertising. Norma is using the ________________ approach. The problem of this approach is that it assumes _________________________.
A)objective-and-task; the effort required is minimal
B)objective-and-task; advertising creates sales
C)percent-of-sales; advertising creates sales
D)objective-and-task; sales create advertising
E)percent-of-sales; sales create advertising

Question

Quizplus · Accepted Answer

Norma initially considers the objective-and-task approach but ultimately uses the percent-of-sales method by multiplying past sales by a standard percentage. The problem with this approach is that it assumes sales create advertising, not the other way around.

Norma Has Been Given the Responsibility of Determining the Advertising