Strategic advertising in the cola market
A)significantly expands the size of the market.
B)brings in few new customers and primarily shifts market share among rivals.
C)shifts market demand to the right, increasing quantity sold and decreasing prices.
D)has no impact on the market.

Question

Quizplus · Accepted Answer

Strategic advertising in the cola market is typically aimed at shifting market share among established competitors rather than significantly expanding the size of the market. This means that advertising campaigns may bring in some new customers but are primarily geared towards retaining and stealing market share from rivals. As a result, the overall size of the market may not change significantly, but individual companies may see changes in sales and profits depending on the success of their advertising efforts.

Strategic Advertising in the Cola Market