Which of the following statements is true about maximize net marketing contribution strategy?
A)It is an offensive core strategy.
B)It results in inefficient use of marketing resources.
C)It requires careful margin management.
D)Its first step is to focus on optimal management of price-volume rather than margin-volume.
E)It is most effective in very unattractive markets where the firm has a very weak competitive position.

Question

Quizplus · Accepted Answer

The maximize net marketing contribution strategy requires careful margin management, which means that the firm needs to focus on optimizing the balance between sales volume and profit margin. This strategy is not an offensive core strategy (A), nor does it result in inefficient use of marketing resources (B). It also typically focuses on margin management first, rather than price-volume management (D). This strategy is most effective in attractive or moderately attractive markets where the firm has a solid competitive position, rather than very unattractive markets (E).

Which of the Following Statements Is True About Maximize Net