Sean is the VP of Marketing at a large chain of car dealerships. He is a strong proponent of advertising heavily and investing in promotional spending because there is a strong relationship between these activities and the market value of a firm. Ken's thought process is widely accepted as correct because a clear link of causality between advertising and promotional spending and market value exists.

Question

Quizplus · Accepted Answer

There is no universally accepted causal link between advertising/promotional spending and market value, as many factors can influence a firm's market value.

Sean Is the VP of Marketing at a Large Chain