Which of the following promotional budget methods wrongly views sales as the cause of promotion rather than as the result ?
Correct answer: B. Percentage of Sales method
- A. Affordable method
- B. Percentage of Sales method
- C. Competitive parity method
- D. Objective and task method
Explanation
The percentage-of-sales method sets the promotional budget as a fixed share of current or expected sales, treating sales as the cause rather than the result of promotion. Effective planning normally starts with objectives and tasks and estimates the cost of achieving them.
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