Under the competitive parity method, the communication budget is set so that:
A) the retailer's share of the communication expenses equals its share of the market
B) sales forecasts will not affect the budget
C) retailers can exploit opportunities they confront in the market
D) it resembles a fixed percentage of sales
E) surplus cannot be allocated to other categories

Question

Quizplus · Accepted Answer

Under the competitive parity method, the communication budget is set so that the retailer's share of the communication expenses equals its share of the market, ensuring that the retailer spends in line with its market position.

Under the Competitive Parity Method, the Communication Budget Is Set